macroprudential policy has further supported the resilience of the financial system in europe. as part of its mandate, the esrb assesses systemic risks in the eu, and, where appropriate, issues warnings and recommendations. slide 4 : key risks for eu financial stability in our recent systemic risk assessment, we conclude that while disinflation in the eu is on track, financial stability risks remain elevated amid heightened geopolitical risks and the still fragile recovery of the eu economy. in the latest ecb projection, growth outlook was revised down, and the risks to the growth outlook are tilted to the downside. in particular, we have to be aware of both the direct and indirect impacts of current geopolitical risks on the eu financial system. geopolitical events may directly impact financial markets by increasing volatility, affecting capital flows, exchange rates, and credit spreads. indirectly, they can disrupt global trade and increase commodity prices, challenging households and businesses in the eu. in the financial markets, the risk appetite has been unusually strong, especially in the context of high macro - financial uncertainty. the abrupt, albeit short - lived, market correction in early august showed how sensitive this can be. if repeated, the vulnerabilities in the non - bank sector could amplify adverse market dynamics. moreover, vulnerabilities in the banking sector could resurface, especially if the first two risks were to materialise. this would increase credit risks and tighten funding conditions at the same time. in any case, it continues to be essential to maintain the resilience of the eu financial system. ensuring adequate resilience and effective but flexible regulation is one building block in promoting european competitiveness, along the lines of the recent report by mario draghi. as part of the efforts for more investment and higher productivity, it is crucial to advance the savings and investment union – or the excapital market union – and to complete the banking union. slide 5 : esrb's members reflect on its future – atc survey fifteen years ago, the global financial crisis revealed weaknesses in eu banking supervision. it was clear that major changes to financial supervision were necessary to help prevent and mitigate future crises. thus, commission president jose manuel barroso set up an independent high level group on financial supervision in the eu to make recommendations on strengthening european supervisory arrangements, covering all financial sectors. the high level group, chaired by jacques de larosiere, was given a very broad mandate

those for the banks. this is important not only for financial stability, but also for ensuring a solid basis for the saving and investment union. let me underline the critical importance of data – access to data, better use of data – in the analysis of non - banks. to understand the systemic risks related to nbfis, we simply need better data to be able to identify and map the vulnerabilities and interconnections. only once that's done, we will be able to capitalize on more advanced methods, such as system wide stress - testing, to locate the vulnerabilities in the system. our future challenges include not only the complexity of the evolving financial system, but also the increased speed of its operations. due to digitalisation, financial operations are becoming ever faster. it will be even more important that the esrb is able to perform risk analysis and policy evaluations in a timely manner. dear friends, slide 6 : three priorities in the way we work before concluding, i'd like to highlight three priorities for the way we work in the coming years that i find critical for the esrb. we should : 1. enhance our analytical capacity by making better use of data and research. 2. bring into use new analysis methods and technologies. 3. 4 / 6 bis - central bankers'speeches 3. focus on our core activities. let me just elaborate on these a little more. slide 7 : analysis based on data and research – a key priority 1. active development of data analytics and research - driven analysis is nothing new at the esrb as such. but i firmly believe that the importance of analysis which is based on data and research cannot be overemphasized in our times, where disinformation is being used as a weapon. in today's world, there is a great risk that genuine information will be crowded out. data is the gold or oil of our digital world today – it is a valuable resource and a necessary basis for high - level analysis. following the global financial crisis, the reporting requirements for financial operators were increased. financial supervisors and central banks consequently also have a duty to use the new data effectively and efficiently. the challenge for the esrb is that not all relevant data are readily available to it. the rules governing the esrb's access to data can be broadly divided into two types : ex ante access, whereby the esrb has access to data on a regular, ongoing basis, as soon