benoit cœure : interview in kathimerini interview with mr benoit cœure, member of the executive board of the european central bank, in kathimerini, conducted by giannis papdogiannis and published on 13 july 2014. * * * after a prolonged period of instability and uncertainty, greek banks are showing signs of stabilisation. what is your opinion about their situation? the greek banking sector has come a long way over the last four difficult years. it has undergone major consolidation and greek banks have been recapitalised. today greek banks no longer need to make use of emergency liquidity assistance and have managed to gain access to the international markets. these are encouraging signs. we now have to wait for the outcome of the ecb ’ s comprehensive assessment, which will be available at the end of october. looking forward, the main challenge that has to be addressed is the high percentage of non - performing loans. several initiatives have already been announced by the bank of greece in this respect. a change in the payment culture will also help deal with part of the problem. until recently greece was solely dependent on official financing as it had no access to markets. however, the successful recent share capital increases undertaken by banks and the return of the greek sovereign to bond markets indicate an increased appetite by private investors for greek risk. how much does this change the overall picture? can it help greece get out of the crisis faster? the improvement in financing conditions for greece and greek banks is encouraging. however, the transition to smooth and regular access to capital markets will be a long one. the benign investor perception today is based on the assumption that reforms will continue. the greek authorities thus need to continue to be determined in their reform efforts. what else should greece do in order to get out of the crisis permanently? the significant adjustments made so far under the macroeconomic adjustment programme have allowed the greek economy to enter a new phase, moving from stabilisation to economic recovery. it is now important to ensure that the country stays on course with the reform process in order to reduce unemployment and achieve sustainable growth based on sound public finances, which will improve living standards for all. this includes achieving the ambitious fiscal targets that have been set. let me stress that opening up and liberalising product and service markets and fighting unjustified privileges, tax evasion and corruption more effectively are of key importance for improving social fairness and reducing unemployment. do you think that the ongoing stress tests performed by the

sabine lautenschlager : taming the fire statement by ms sabine lautenschlager, member of the executive board of the european central bank and vice - chair of the supervisory board of the single supervisory mechanism, at the credit risk 2017 forum, vienna, 23 march 2017. * * * theodore roosevelt is supposed to have said : “ risk is like fire : if controlled it will help us ; if uncontrolled it will rise up and destroy us ”. i think that describes quite well the modern financial world and its risks. managing financial risks is a bit like controlling a fire. it ’ s the job of chief risk officers, the cros, to constantly remind decision - makers about the “ fire safety rules ”. the recent financial crisis showed how important that job is. it ’ s a job that requires cros to be steadfast and to speak unpleasant truths from time to time – just like banking supervisors have to do. it ’ s regulation that helps us to do our job. regulation seeks to control risks as well. following the devastating “ fire ” of the financial crisis, we have overhauled the rules for banks. we have mended them, strengthened them, and expanded them. that was the correct and necessary thing to do. but now it is time to finish the job. more than eight years after the crisis, banks need regulatory certainty. but the job needs be finished at the global level. the financial system is global and so should be the rules that govern it. you cannot enjoy fresh air on your patch of land while there is a fire raging on your neighbour ’ s – sooner or later the wind will blow smoke and sparks over the fence. against that backdrop, i welcome the fact that, last weekend, the g20 have confirmed their support for the work to finalise basel iii. but there are still some voices who question the general extent of the regulation. to be crystal clear : it would be wrong to soften the rules. this would just prepare the ground for the next crisis. i cannot deny, though, that rules put a burden on those who have to comply – the banks, that is. in that regard, it is often claimed that the burden on banks translates into a burden on the economy. it ’ s said that banks could no longer pursue their traditional business because the capital requirements are too strict. it ’ s also said that new business models would not make economic sense because of the regulatory cost. all that would hurt