s potential, and the economy will grow in a non - inflationary way. above all, if there is less debt, the quantity of money in the economy won't grow too much. this is an important condition for reducing inflation. ultimately, such an economy should attract foreign direct investment and its exports should thrive. the result will be a strong koruna. 1 zeman, m. ( 2016 ). speech at the festival exportu 2016 conference, czechinno, prague. 2 see https : / / www. cnb. cz / cs / verejnost / servis - pro - media / autorske - clanky - rozhovory - s - predstaviteli - cnb / covid - a - socialismus - nebezpecny - saci - reflex - naroda / and https : / / www. cnb. cz / cs / verejnost / servis - pro - media / autorske - clanky - rozhovory - s - predstaviteli - cnb / klausova - draha - permanentka / 3 https : / / www. cnb. cz / cs / o _ cnb / cnblog / inflace - v - cr - cyklicky - ci - acyklicky - pribeh / 4 https : / / www. cnb. cz / cs / verejnost / servis - pro - media / autorske - clanky - rozhovory - s - predstaviteli - cnb / krotitele - nakladove - inflace / 5 for details, see https : / / www. cnb. cz / cs / o _ cnb / cnblog / jak - dlouhy - je - spravny - horizont - menove - politiky /. 3 / 4 bis - central bankers'speeches 6 https : / / www. cnb. cz / cs / verejnost / servis - pro - media / autorske - clanky - rozhovory - s - predstaviteli - cnb / zapisky - z - jackson - hole - 1 - 00001. - dil / 7 https : / / www. cnb. cz / cs / verejnost / servis - pro - media /

local financial market. at the time, the cnb was just the bank regulator and there were three other supervisory institutions. this government decision made us work hard to take over the others and bring them under the cnb's roof. this was actually not what the government had originally envisaged, but we were lucky and won the battle. some think it was a 1 / 2 bis - central bankers'speeches kind of hostile takeover. no matter what it was, it took some time to complete – parliament did not approve the integration plan until the end of 2005. the cnb became the sole supervisor in april 2006. there is one more important anniversary this year that no one speaks of. ten years ago, at the end of november 2014, the board decided to introduce a supervisory tool to address potential sovereign risk in the banking sector. as far as i know, we were the first and likely the last authority in europe to establish any kind of sovereign risk instrument. every year since 2015, the cnb has conducted a public finance stress test and informed banks whether sovereign exposures above a certain level could be subject to a pillar ii capital add - on. to begin with, we were silent about the introduction of this tool as well. the decision was revealed in june 2015. at the time, it was viewed as a temporary solution before eu - wide regulation kicked in. with the benefit of hindsight, we were lucky to act early, before the window of opportunity was closed by the failure of the high - level working group of the european economic and financial committee to agree on anything in this area. in summer 2015, the eu authorities recommended to " await the outcomes of the basel committee ". we are still waiting. to be honest, the window of opportunity created by the sovereign debt crisis in the euro area was wide open back then – we even managed to convince the ministry of finance to support the introduction of the tool. looking at the state of public finances across a number of advanced economies today, one slogan inevitably comes to my mind as to the future : never waste a good crisis! for now, enjoy the conference. 2 / 2 bis - central bankers'speeches