that further integration is necessary. if we didn ’ t agree on this need and we neglected the high degree of interdependence between member states, we would run the risk of going backwards – and that would probably be in a brutal way. in this sense, the sovereign debt crisis acted as a wake - up call and led to substantial steps forward in european integration, including the creation of the european stability mechanism and the single supervisory mechanism. the ecb is a federal institution where competences, such as competition and trade policies, are european, as you said. does that mean that the euro can only survive in a federal setting, a federal union? to put it very simply : in the long run europeans will decide as much as possible in local communities and countries, and will decide jointly at a european level whenever necessary. that is the principle of subsidiarity. which decision - making belongs to which level is up for debate. the euro is the currency of the european union. to reap the full benefit of monetary union, it is essential to put in place a sound institutional framework for other policies, where responsibilities are assigned to the right level. some policies, but certainly not all, are best assigned to the union level. this is a long process, and the union has already demonstrated its ability to make 1 / 5 bis central bankers'speeches progress. there was a high degree of consensus after the financial crisis that banks would be best supervised at the union level. the responsibility for banking supervision was accordingly assigned to the union level, following a decision taken by the european council in june 2012. in some policy areas, rules are not sufficient, you also need institutions. crisis management is another example. the rules that we had before the crisis didn ’ t even foresee the possibility of a crisis, and this made the response to the euro area sovereign debt crisis particularly challenging. lessons were learnt from this painful experience and a permanent institution for crisis management was established, the european stability mechanism. assigning monetary policy to the union level was relatively easy, because there is a broad social consensus on central banking whereby the central bank should be independent and be assigned the pursuit of a single objective, price stability. defining the right allocation of responsibilities between the union and its member states is by nature a long historical process ; it will continue to elicit lively political debates in europe. such debates are to be welcomed, as they are part of our writing a common history. is the ecb ’ s mandate

sabine lautenschlager : cyber resilience - objectives and tools speech by ms sabine lautenschlager, member of the executive board of the european central bank and vice - chair of the supervisory board of the european central bank, at the first meeting of the euro cyber resilience board for pan - european financial infrastructures, frankfurt am main, 9 march 2018. * * * in 1903, the italian inventor marconi demonstrated his new invention, a wireless telegraph, to a large audience. it didn ’ t go too well for him, though. the machine itself did work in the sense that it transmitted a message. however, it was not the message the audience – or marconi – had expected. the word “ rats ” was being sent again and again. the system had been hacked. the culprit in this case was nevil maskelyne, a magician. allegedly, he had been hired by a british wired - telegraph company which was worried that marconi ’ s invention might ruin its business. technology has advanced a lot since 1903. and it has created a deeply interconnected world. the financial system is a case in point. no financial institution can survive, let alone thrive, on its own. no bank can do without the complex web of financial market infrastructures that underpins its day - to - day business. no bank, therefore, must underestimate the associated risks. in particular, no bank must underestimate the it risks, which include cyber risks. in the worst case, a single hack could compromise the entire system. so cyber resilience is a goal we all share. and anyone who sees it as just another competitive advantage is mistaken ; the whole chain is only as strong as its weakest link. and in that sense, many actors in the financial system are parts of the same chain. ecb banking supervision takes cyber resilience very seriously. naturally, we focus on banks and on the euro area. in doing so, we take into account that banks are not just connected among themselves but also with other market participants and infrastructures. this means that our supervision of it risks also covers the end - points of payment systems and market infrastructures in the banks directly supervised by us. in short, we aim to ensure the availability, confidentiality and integrity of banks ’ data and systems. what have we done so far and what are our plans for the future? so far, we have conducted thematic reviews on cyber risk and