sabine lautenschlager : deutsche bundesbank ’ s 2012 financial stability review – the risks to the german financial system opening statement by ms sabine lautenschlager deputy president of the deutsche bundesbank, at the press conference of the deutsche bundesbank ’ s financial stability review 2012 “ the risks to the german financial system ”, frankfurt am main, 14 november 2012. * 1. * * introduction ladies and gentlemen, dear journalists, dr dombret and i cannot, unfortunately, give the all - clear in presenting this year ’ s financial stability review. like last year, we still see substantial risks for the financial sector. the stillsmouldering sovereign debt crisis continues to shape the risk situation, even though progress has been made at the national and eu level. for this reason, it remains important that governments put structural adjustments in place to fight for their competitiveness and achieve sustainable public finances – with a view to addressing the root causes of the crisis. but risks stem not only from the sovereign debt crisis. the global economic slowdown and market liquidity in search of yield may lead to additional risks in the financial sector. and we are also keeping a very close eye on the challenges that emanate for insurance companies and banks from the low - interest rate environment. dr dombret will come back to that question in greater detail later on. before my colleague and i assail you with selected prices, balance sheet data and indicators, i would like to draw attention to one aspect which is not to be underestimated, and which poses a threat to financial stability in the medium to long term. i am referring to the imminent danger of overtaxing monetary policy in the battle against the sovereign debt crisis. 2. government debt crisis without a doubt, the sovereign debt crisis has revealed weaknesses at the national level and weaknesses at the european level. to remedy these weaknesses is a challenge for european policymakers and national governments alike. and to overcome this challenge, very difficult and unpopular decisions have to be made. of late, the search for solutions has increasingly led to the central banks. i consider this to be a dangerous route to take. monetary policy cannot eliminate the causes of the crisis ; nor can it, therefore, lead to the desired objective. the monetary policy measures that are implemented can only buy time. there is a general consensus on this within the eurosystem. nor is this time for free – it comes at a price. the central banks have already done a

climate change and geopolitical shifts : accelerating the sustainable transition speech at the eurofi financial forum 2022 prague | sabine mauderer 1 introduction 2 time to act – more reasons 3 financing the sustainable transition 4 enhancing market transparency 5 transition plans – from commitment to action 6 conclusion 1 introduction ladies and gentlemen, having just arrived from germany, i ’ m enjoying the pleasant, slightly cloudy weather in prague. it is very different from what we have experienced over the summer. this summer has been hot, unbearably hot – with temperatures reaching 40 degrees celsius or higher. scorching heat coupled with little to no rainfall has caused an unprecedented stress on water levels. two - thirds of europe is subject to a drought warning or alert, according to the european drought observatory. [ 1 ] this could be the worst drought in at least 500 years. the severe rainfall deficit is increasing the risk of fires. the wildfire in the bohemian switzerland national park was terrible, the smell of smoke even reached as far as prague. of course, such weather extremes are not entirely new, but their magnitude and frequency are frightening. it shows : the climate change is not a future problem. the climate crisis is at our doorstep. in addition to the human tragedy, the proliferation of extreme weather events has economic consequences. the european council estimates that the financial losses caused by extreme weather and climate - related events exceeded 487 billion euro in the eu ( european union ) 27 over the last 40 years. [ 2 ] on average, only around 23 % of the total losses were insured. and it is widely understood that climate - related extreme weather events will become more frequent. without mitigating action, they could result in even greater losses going forward. 2 time to act – more reasons ladies and gentlemen, there is simply no time left to hesitate or delay. we need to pull together and speed up the green and sustainable transition. even more so now that the russian war in ukraine is having global ripple effects. it has sent food, energy and commodity prices soaring across the world. in germany, the year - ahead price for electricity reached a high record at the end of august. prices briefly rose to 1, 000 euro per megawatt hour. before the war, they rarely rose above 100 euro. overall, the world bank expects global energy prices to increase by 50 percent on average in 2022. and, in a recent analysis, the world bank estimated that the energy shock could lower global output by almost