be reenergised. in this regard, agreements on a " critical minerals corridor " and a " food corridor " for safeguarding food security are necessary. such arrangements have to be fair and equitable. second, there is a need to develop cooperation in areas of common interest and urgent needs such as climate change where no country can devise strategies on its own. 4 / 6 bis - central bankers'speeches smooth and orderly green transition is necessary to avoid disruptions to economic activity and loss of growth potential. while the investment needs for smooth green transition are large, the actual financial flows to green projects are highly skewed and are, by and large, concentrated in advanced economies. as a result, there is a need to enhance green capital flows to emes. at the same time, we have to be mindful of potential financial stability implications of green transition. third, improving infrastructure remains key to long - term growth. while investment in hard infrastructure ( roads, ports, airports, electricity, water ) is important, there has to be equal emphasis on creating soft infrastructure ( education, health, legal, financial, institutional ). skill enhancement and increasing female labour force participation are key to enhancing effective labour supply and potential growth of the region. fourth, india's experience has shown how digital public infrastructure ( dpi ) can be utilised for advancing financial inclusion and productivity gains through cost reductions. our sustained engagement in the india stack and the unified payments interface ( upi ), especially during the pandemic and thereafter, has given us the confidence that digital public infrastructure can become a critical part of global public good when scaled up beyond national boundaries. the linkage of indian upi and the fast payment systems of a few other countries drives home the potential of the upi to become an international model for cross - border payments. fifth, new technological developments like artificial intelligence ( ai ) and machine learning ( ml ) can bring about significant improvements in efficiency and productivity of businesses. necessary safeguards, however, need to be put in place to prevent the misuse of technology. in particular, global financial market regulators need to be vigilant about the possible misuse of ai and ml in perpetrating financial fraudulence. conclusion the global economy stands at crossroads. challenges remain in plenty, but new opportunities are also knocking at the door. together, the course we take from here will decide our destiny in times to come. we need policies that are attuned to the new realities

as losses mount. if nothing else is done, the banks will go on the defensive and cut their activities, thereby reducing the balance - sheet total to meet the capital requirements. even creditworthy customers will find it difficult to obtain financing for sound projects. at the end of 2007, the excess solvency of the banking sector as a whole was around kr. 90 billion. this would be sufficient to cover aggregate losses amounting to just over 3 per cent of all lending and guarantees. losses of that magnitude are not unrealistic if we look at previous periods of recession. in addition, part of the banks'subordinated loan capital matures in 2009 and 2010 – approximately kr. 10 billion in each of these years. furthermore, the crisis comes in the wake of a period of unusually large increases in lending by banks. in denmark, the banks'lending amounted to almost 9 times their equity capital at the end of 2007. the same ratio in 2003 was almost 7, which was also the average for the preceding 30 years. if new capital is not attracted, a return to that gearing ratio requires a 25 per cent reduction in lending. this pattern is not unique to denmark, but is seen in many countries. in a situation where banks cannot raise new capital in the markets, many countries have chosen to inject capital into the banking sector by launching government rescue packages. this is in accordance with the conclusion of the european council summit on 15 and 16 october, reaffirming the council's commitment that in all circumstances the necessary measures will be taken to preserve the stability of the financial system, inter alia by providing the financial institutions with capital resources so that they can continue to finance the economy properly. overall, eu recapitalisation totals 280 billion euro. the effect of various national capital injections has been that the core capital of international banks has increased from around 9 per cent to around 11 per cent. you could say that the international benchmark for banks'core capital has risen. against that background, danmarks nationalbank believes that it is necessary for denmark to introduce a temporary facility to supplement the capital that can be raised in the private market, so that well - run danish banks gain access to temporary financing on conditions that resemble those in the market as closely as possible. this has been done in other countries, and it should be done in good time, before it becomes obvious to everyone that it is required. but there is time to consider e. g. the criteria