credible in the shorter run, too. that is a prerequisite for a stable development during the period in erm2. that in turn presupposes, for example, that the rate functions properly in relation to the prevailing level of economic activity, the current fiscal policy and so on. the underlying inflationary tendencies that are discernible in labour costs, for instance, also play a part. in these respects it is also possible to produce various numerical examples and simulations. alternative assumptions can be made, for example, about what would be a reasonable exchange rate in the long run and test them against different underlying cyclical developments. an important issue for the riksbank here is the effect on inflation. if it is found that inflation would be unduly high, for example, fiscal policy might have to be tighter. the interaction of the business cycle, for example, and the choice of fiscal policy and exchange rate can be studied in this way. the discussion would benefit from several independent analyses of this kind. economic policy in erm2 if sweden becomes a full participant in the monetary union, the conditions for swedish stabilisation policy will change. the task of conducting a stabilisation policy for swedish needs would then rest - to the extent that it is considered desirable - entirely on the swedish parliament or riksdag and the government. i want to underscore that this change already takes place essentially during the period in erm2. it should be noted that a good state of readiness is absolutely essential. at the riksbank we usually reckon that it takes between 1 and 2 years for changes in monetary policy to elicit their maximum effect on the rate of inflation. we do not know exactly what the corresponding time lag is for the real economic impact of fiscal policy. but there is much to suggest that fiscal policy as early as next year that is, the policy which is being decided this autumn - will be important in this context, at least if the timing that is now being discussed, with full participation in 2005 or 2006, is achieved. thus, more and more of stabilisation policy's burden is transferred to fiscal policy. but this does not mean that the riksbank should refrain from using the scope for monetary policy that may exist during the erm2 period. it is up to the riksbank to do what is possible to make sweden's accession to the monetary union smooth and stable. low and stable inflation in sweden is one important

eli m remolona : protecting the banking system as a whole speech by mr eli m remolona, jr, governor of bangko sentral ng pilipinas ( bsp, the central bank of the philippines ), at the philippine deposit insurance corporation stakeholders'appreciation night, manila, 20 june 2024. * * * magandang gabi po. president bobby tan, members of the pdic ( philippine deposit insurance corporation ) board of directors, members of the pdic management, pdic's institutional partners, good evening. as the pdic's 60th anniversary celebration draws to a close, we would be remiss if we did not express our gratitude to our stakeholders. the pdic's relationships have been crucial to the organization's success. so, tonight is a stakeholders'appreciation night. as president bobby tan said, when the pdic was established in 1963, it was the first institution in east asia to offer deposit insurance. since then, it has stood as a bulwark against banking crises. yes, the pdic provides depositor insurance. but its most important role, by far, is to protect the banking system as a whole. when a mass of depositors decide to withdraw their money, even when they do not need it, then you have what constitutes a bank run. this bank run can have catastrophic consequences for the financial system, the economy as a whole, and our people. we look to the pdic to stop such a run in its tracks. in the late 1990s, the asian financial crisis shook the region's economies to their core. a decade later, the philippine banking system itself was shaken by the legacy group scandal, which led to the collapse of 48 banks across the archipelago. the pdic plays its most critical role during times like these. it does this by restoring confidence among depositors. today, i am proud to say that the bsp itself is one of the pdic's stakeholders. we work very closely together and try hard to maintain the stability and resilience of the philippine banking system. together, we are stronger in facing the challenges ahead. so, cheers to our enduring partnership. and cheers to our stakeholders. maraming salamat po at mabuhay tayong lahat! 1 / 1 bis - central bankers'speeches