risk to be fairly low reflects past developments, first and foremost. during the pandemic, insolvencies in the corporate sector actually decreased despite a sharp decline in gdp ( chart 11 ) – thanks to extensive government measures. credit risk was at a commensurately low level. the time series on which banks are basing their estimated future credit risks could therefore paint an excessively optimistic picture of the future. so the fact that increasing credit risks have not yet filtered through to loan loss allowances definitely does not constitute an allclear signal. seite 13 von 18 deutsche bundesbank, directorate general communications wilhelm - epstein - strasse 14, 60431 frankfurt am main, germany, tel. : + 49 ( 0 ) 69 9566 33511, fax : + 49 ( 0 ) 69 9566 33077 presse @ bundesbank. de, www. bundesbank. de reproduction permitted only if source is stated. chart 12 furthermore, banks ’ capital ratios have fallen slightly since the middle of last year. there are two reasons behind this : the continued fairly dynamic increase in loans and write - downs on securities, which have already taken place. the tier 1 capital ratios of savings banks and credit cooperatives and of large, systemically important banks have fallen by around one percentage point ( chart 12 ). 8 the unweighted capital ratios, too, declined during this period. in january 2022, the federal financial supervisory authority ( bafin ) therefore announced a package of macroprudential measures to strengthen bank resilience. the countercyclical capital buffer was raised to 75 basis points of domestic risk exposures in a move to enhance resilience to general macroeconomic risks contained in the loan portfolios. the sectoral systemic risk buffer was set at 2 % for loans secured by domestic residential real _ _ _ _ _ _ _ _ _ _ _ _ _ the tier 1 capital ratios of large, systemically important banks stood at around 18 % in mid - 2021 and at 17 % in the middle of 2022. the tier 1 capital ratio of savings banks and credit cooperatives was around 16 % in mid - 2021 and just over 15 % in mid - 2022. seite 14 von 18 deutsche bundesbank, directorate general communications wilhelm - epstein - strasse 14, 60431 frankfurt am main, germany, tel. : + 49 ( 0 ) 69 9566 33511, fax : + 49 (

philip lowe : remarks at a reserve bank board dinner with members of the sydney community speech by mr philip lowe, deputy governor of the reserve bank of australia, at a dinner with members of the sydney community, sydney, 6 september 2016. * * * good evening. on behalf of the reserve bank board, i would like to warmly welcome you all to this dinner. these dinners, which we hold in all the state capitals, have become one the highlights of our calendar. they provide a fantastic opportunity for us to talk with leaders from the worlds of business, politics, academia and the community sector. so thank you all for taking the time to join us this evening. this particular dinner marks a very special occasion. earlier today, glenn stevens chaired his final – and 110th – meeting of the reserve bank board. as you probably know, glenn has been the governor of the rba for 10 years. before that he was the deputy governor for five years. and before that he was the chief economic advisor to the board for more than five years. all up, he has attended 215 meetings of the board over some 20 years. glenn has also attended and chaired 41 meetings of the payments system board. i am delighted that many of the current and former members of both boards who have served under glenn are here this evening. given the sheer scale of glenn ’ s contribution, it is appropriate to begin this dinner by delivering – on behalf of us all – a few words of tribute to him. after that, and after we have had our entree, the treasurer, the hon. scott morrison mp will speak and then glenn will say a few words. that will bring the formalities to a close and then we will enjoy the rest of the meal and conversation. many of you may know glenn personally. those of you who don ’ t know him might feel like you do : there are few australians whose public utterances are so closely scrutinised and so widely covered by our media. but whether you know him personally, or through the media, i am sure you will have formed the same impression of glenn. that is of an incredibly dedicated servant of the public over a career that spans 36 years, and a man of the highest integrity. glenn has relentlessly served the interests of the australian people. he has brought a very high level of analytical rigour to the task. he has exercised an independence of thought that is not always seen in public life. he has patiently explained difficult economic issues to australians