in times of financial distress the role of the official sector remains crucial in providing financial assistance to emerging market economies. it is true that informal arrangements are in force in order to facilitate negotiations with the main creditors of the private sector. the so - called “ london club ” has become a kind of permanent institution, like the paris club for obligations vis - a - vis official creditors. however, the development of new instruments for lending to emerging market economies and the increasing diversification of the creditor base, while facilitating the financing of the countries concerned, render negotiations between debtor countries and their private sector creditors more difficult in the event of a crisis. this explains why, so far, only ad hoc measures have been developed in order to involve private sector creditors - on a case - by - case basis - in the resolution of financial crises. in addition to enhanced efforts to improve the communication channels between debtor countries and their creditors, which would also enhance crisis prevention, the ecb would support a move to strengthen the existing framework for the management of financial crises. three fundamental principles may be helpful to this aim. first, the framework should rely more on rules and less on discretion than was the case in the second half of the 1990s. a case - by - case approach, lacking clear “ rules of the game ” on the respective roles of private and official sectors in times of distress, runs the risk of creating the perception that official resources would provide a “ safety net ” if need be. such a perception is likely to distort debt management on the borrowers ’ side and risk assessment on the creditors ’ side, thus engendering problems of moral hazard on both sides. second, the imf cannot - owing to its limited resources which do not match private capital outflows - and should not - owing to moral hazard problems mentioned above - act as an international lender of last resort. imf financial assistance can neither be unlimited nor cover all the financing needs of a country. the imf should rather play a catalytic role. imf conditionality in the form of adjustment programmes should, in conjunction with imf financing, be instrumental in improving the external position of member countries and quickly restoring market confidence. actual ceilings on access to imf financing facilities should also be established. third, as a logical consequence of limited official financing, the private sector should be involved in the resolution of financial crises. it is a matter of fact that a country running into financial difficulties will need to involve its creditors in one

mario draghi : short address on the occasion of the launch of the europa series €5 banknote speech by mr mario draghi, president of the european central bank, at the launch of the europa series €5 banknote, bratislava, 2 may 2013. * * * i mentioned this at the end of today ’ s press conference, but let me say again that i ’ m very pleased to be here today to see the launch of the new 5 euro, the first banknote of the europa series. the new banknote will join 15 billion euro notes already in circulation. they are the most visible and tangible symbol of european integration, used from one end of the continent to the other. with the europa series, we are giving a face to our currency. a portrait of europa, a figure from greek mythology, has been incorporated into some of the security features of the new series. after centuries of division, the european union was awarded the nobel peace prize last year for its contribution to “ the advancement of peace and reconciliation, democracy and human rights in europe ”. we all know that europe is experiencing some challenging times. governments and citizens are making extraordinary efforts to put their economies on a sounder footing and to build a more stable future for the european union. in times like these, it ’ s important to remember what the union and the euro have achieved and what they mean in the longer term, especially for young people. the children who are here today are growing up in a continent of peace. they belong to the “ euro generation ” – they have only known one currency. we invited them to attend a photo event with the governing council this morning. we are happy for them to be with us on this occasion to mark the launch of the next generation of euro banknotes. bis central bankers ’ speeches