central bank digital currency ). because paying digitally based on private solutions is already a well - functioning daily experience for chinese people, encouraging them to change their behaviour and adopt cbdc ( central bank digital currency ) seems quite a burden. however, payments are a network industry, so it is crucial to attract a broad user base as soon as possible. for this reason, the people ’ s bank of china ( pboc ) distributed an amount of cbdc ( central bank digital currency ) for free to nudge payers to adopt it. for sure, there might be certain features of cbdc ( central bank digital currency ) which could be considered unique from a user perspective, like offline capability or a specific focus on privacy. but since cbdc ( central bank digital currency ) will require close cooperation between central banks as well as commercial banks and other payment service providers, all parties have to reflect on the way cbdc ( central bank digital currency ) can be made a convenient and widely accepted means of payment offered in a public - private partnership. for instance, the european system of central banks has to act in accordance with the principle of an open market economy with free competition, according to its statute. [ 2 ] suppressing private sector institutions that offer payment solutions would not fit into this concept. nevertheless, it will also take some thinking out of the box by private players to develop entirely new solutions from scratch. moreover, standards, rules and procedures in the digital world might need to be more prescriptive in order to ensure interoperability and pan - european reach. here comes the analogy with a payment scheme into play. however, there are a variety of options for what such a scheme might look like, and how it is operationalised. one might even consider cash a rather light payment scheme, as compared with the fully - fledged card schemes operated by the international card providers. all of this needs much more elaboration. but one thing is certain : cbdc ( central bank digital currency ) will need much more communication and cooperation among central banks, a strong commitment from private payment service providers, and buy - in on the demand side. payees, mostly merchants, have to understand the clear - cut and attractive features offered by a cbdc ( central bank digital currency ), and payers have to learn that cbdc ( central bank digital currency ) is a “ somewhat official means of payment ”, offered to them by their trusted payment providers at conditions that are transparent to them and don ’

the act in itself is a step in the right direction since it heightens what the imf, in its last article iv consultation, 10 called the “ level of preparedness ”. the fact that legislative change is also still needed in germany before the key attributes and the eu directive can be fully and consistently implemented does not contradict my – in principle – positive assessment of the restructuring act. 3. 3 rigorous monitoring of the implementation of the new international standard experience over the past few years has shown that international standards can sometimes be futile if they are not implemented and applied in a consistent and timely manner. for this reason, the fsb wants to rigorously monitor the progress made in implementing the key attributes in its member states. what makes this all the more important is the fact that the key attributes take us into unchartered waters. moreover, implementation will require legislative and institutional changes – some of them extensive – in all g20 jurisdictions. last but not least, monitoring of consistent implementation is crucial for overcoming obstacles to cross - border cooperation which will play such an outstanding role. to facilitate the monitoring process, work is currently underway, as a matter of urgency, on an assessment methodology that will make it easier to objectively assess the level of implementation in individual countries. this instrument is to be used by various bodies : a ) countries will be able to perform a self - assessment in order to identify any gaps in implementation ; b ) the imf / the world bank will use this methodology when carrying out their fsap assessments ; c ) the fsb is already planning a first review for 2012 as part of its peer review process, and d ) the fsb peer review council, which has not yet been set up, will apply this instrument to global systemically important financial institutions. countries with a below - average performance in these assessments will be required to provide an explanation, and can expect the results to be published. i believe implementation must be monitored rigorously because the new standard closes a serious gap in the regulatory framework. 4. conclusion this gap illustrates perfectly that the regulatory framework before the financial crisis was not geared to the stability of the financial system as a whole. this failure to take sufficient account of the systemic stability perspective must and will be remedied. for this reason, let me draw your attention to the german government ’ s draft of the financial stability act, which the german cabinet passed yesterday. this act will assign central tasks of macroprudential oversight to the bundesbank