forget that adjustments will always be necessary to safeguard prosperity. this is especially true for the european crisis states. bis central bankers ’ speeches but more is required to ensure that monetary union can once again function properly as a whole. from now on, it must not be possible for the problems of individual countries or banks to jeopardise the entire system. an operational framework which reinforces the principle of liability and reduces mutual dependencies brings us a good deal closer to achieving this goal. i would like to thank you for your attention today – but, then, this is something i have always been pleased to receive in darmstadt. i am now very much looking forward to our discussion! bis central bankers ’ speeches

monetary policy? maybe you are imagining a multi - layered risk scenario starting to unfold? you are probably thinking of the risks associated with inflation and the reversal of interest rates. and also the risks arising from economic developments. given the economic outlook i described, some enterprises could be facing rougher seas going forward. furthermore, they are also confronted with higher production costs due to inflation. and higher interest rates are driving up their financing costs. this increases 3 / 4 bis - central bankers'speeches the risk that enterprises will no longer be able to service their debt as reliably as they have over the past few years. and alongside cyclical risks, operational risks also remain. risks from the digital sphere, from levels of sickness among staff, from potential power outages, to name just three possible scenarios. these operational risks will be on the agenda of this symposium this afternoon. we must not lose sight of these, either. they must be managed just as prudently as cyclical risks. this is demanded by supervisors, and rightly so, to strengthen the resilience of banks. but resilience also requires a sound capital base. banks proved to have this in the past stress tests. this is good news. because our economy needs strong banks to meet its huge need for investment. advancing digitalisation needs financing. and so, too, does the transition to a carbon - neutral economy with a stable, secure energy supply. banks have a key role to play here. they are currently fulfilling their financing function prudently. the most recent bank lending survey found that the responding german banks had considerably tightened their lending policies in the third quarter. this is also a response to the increased credit risk perceived by banks. however, thus far, there has been no evidence of the supply of credit being restricted in general. instead, lending to nonfinancial corporations was strongly expanded once again. it is important that banks continue to strengthen their capital base and prudently manage their risks in order to remain resilient. this will enable them to effectively fulfil their vital financing role in the economy in future, too. even in uncertain times. 5 conclusion ladies and gentlemen, times are uncertain. interacting with others is hugely important here, especially with regard to the individual aspects of uncertainty. i hope that you have fruitful and inspiring interactions on all of the aspects that are vital for the business models of german banks at present. i trust that you will conclude today with a greater and more