##dicate substantial efforts towards a closer regional integration in infrastructure, markets, education and legal framework. deeper economic regional integration will increase the competitiveness of the region from european and global perspective. bis central bankers ’ speeches lately, efforts have been made towards a closer regional integration, making the region more attractive to potential foreign investors. with a deeper regional integration, a better anchoring in the eu convergence process and more funding, the eastern and southeastern europe has much to offer to europe and to the global economy. the periphery of the euro zone or the future new members provide many attractive investment opportunities in development projects in infrastructure, trade, exploitation of natural resources, energy and production capacities. most importantly the development of these strategic sectors is designed within the framework of the european development plans and the future to be larger european economy. therefore investing in the region would mean to invest in the future of the european economy itself. dear participants, a prosperous and integrated european economy and confident single currency provides a better anchor for the future of our economic, financial and institutional convergence and therefore additional benefits for the european economy itself. european economy is an important partner in global scale, accounting for a substantial share of global demands, financing, education and technology advancement. the strength of european economy is mutually beneficial for europe and its partners, including china. considering the past and the present state of economic, social political and intellectual affairs, i remain firmly convinced in the ability of the europe to rise up to current and future challenges to reintroduce itself as the land of opportunity and prosperity. europe will be an important partner for china and the global economy. before i leave the floor i would like to bring to your attention a very old chinese proverb : “ no one who can rise before dawn 360 days a year fails to make his family rich ”. thank for your attention. bis central bankers ’ speeches

their economies, to increase their competitiveness and to coordinate their policies. eu efforts should concentrate in aiding and speeding the convergence process in the design of markets and institutional frameworks while minimizing the related short term costs. this would be to the mutual benefit of both the eu and the region. i would like to add that in realizing such an agenda, the policy - makers need to pay special attention to the time dimension. reforms that need to be made should be made in time. furthermore, such reforms have to be made with the whole of the eu project in mind. individual countries have much work to do, but a lasting solution to the challenges will be a comprehensive reform that looks beyond specific borders and aims at raising the competitiveness and sustainability of the eu as a whole. europe in the future ladies and gentleman, to conclude my address allow me to restate my belief in the future of europe. a brief glimpse at some figures would illustrate this point. eu comprises roughly 7 % of world population but accounts for a quarter of global gdp. it has a mature social and economic model, which in spite of long - term challenges remains a viable paradigm of economic development. the external position of both eu and eurozone is broadly balanced, with current account deficits of less than 1 % of gdp. the public debt to gdp ratio of 83 % compares favorably with that of other advanced economies and competitors such as the us and japan, respectively at 103 % and 230 %. eu is one of the core areas of global innovation. in terms of research and development expenditure it is not far behind the us, while in terms of number of researchers and patent application actually outperforms it. europe and the eu offer a mature legal environment, with adequate protection for investors and intellectual property. its macroeconomic policies remain stability - oriented and its financial system is both mature and sound. five out of the ten highest ranked countries in the latest global competitiveness index are eu countries. furthermore, i would like to emphasize, apart of eurozone, there are other countries in the eastern and southeastern europe which offer a qualitatively different picture. up to 2008 they included some of the fastest growing emerging economies. these are fast growing economies, with better demographic trends. they offer untapped growth potential, in terms of qualified work force, business friendly environment and stable institutions. european integration process has been the main anchor and major driving force of growth and convergence. therefore, i strongly urge countries of the see region to de