##xploited potential clearly lies in the internal market for services. it is not through protectionism, but rather by unleashing the forces of competition in goods and services markets that we can tap the untapped potential of the european economy, fuel the entrepreneurial spirit and boost innovation. moreover, the eu budget can also help to achieve the economic objectives of the union. in particular, it can ensure that expenditure is channelled towards growth - enhancing outlays, such as research and development and the improvement of human capital. such expenditure will be more beneficial for europe ’ s future than other outlays aiming to subsidise certain sectors. citizens need to understand the case for structural reform in order to welcome it. therefore, better informing europe ’ s citizens about the reasons for and the benefits of structural reform will be crucial for the success of the revamped lisbon strategy. indeed, a better understanding of the benefits from structural reforms could raise consumer and business confidence. the ecb, from its side, will continue to play its role in delivering the message that structural reforms are beneficial for the eu economy as a whole. let me conclude with the words of antoine de saint - exupery : “ l ’ avenir, il ne s ’ agit pas de le prevoir, mais de le rendre possible. ” ( “ as to the future, the task is not to foresee it, but to enable it. ” ) we can all foresee the future challenges of the enlarged europe : increasing globalisation, faster technological change and a rapidly ageing population. if we want to enable europe ’ s future, we need to turn these challenges into opportunities ; more competitiveness, more innovation and more employment. thank you very much for your attention. 4 / 4

such, needs to play a very active role in fostering sound financial globalisation. i would like to highlight two main priorities in this respect. first, we should further step up our efforts to build a truly integrated, safe and highly competitive european financial market. the tenth anniversary of the ecb one month ago gave us the occasion to take stock of the achievements in european financial integration over the past decade. we were proud to find that significant progress has been achieved and that the introduction of the single currency has acted as a major driving force in this regard. however, as i would like to underline today, further efforts are necessary to make the single financial market a reality. while financial integration is first and foremost a market - driven process, authorities can play an important supportive role in a number of ways, for instance by acting as catalysts for private sector initiatives and by reducing policy - related obstacles to cross - border finance. the eurosystem can also provide central banking services that support the financial integration process. i will highlight a few areas, which, in my view, particularly merit further public sector action. second, europe should also contribute actively to safeguarding the resilience of the global financial system. at the present juncture, the main priority in this regard is to address, from a systemic point of view, the global financial system weaknesses which have been identified during the ongoing financial market correction. at the same time, greater global interconnectedness will continue to necessitate substantial efforts towards enhanced international cooperation. i will mention a number of priority issues in this context. the state of european financial integration let me begin with a brief review of the current state of european financial integration. completing the single financial market is a key priority on the european economic agenda for a number of reasons. first, an integrated financial market is a prerequisite for realising the full economic potential of europe, as highlighted in the lisbon strategy. a study by london economics estimates that the integration of the european bond and equity markets could result in additional gdp growth of around 1 % over a ten - year period, or approximately 100 billion euro. 1 second, financial integration is also a crucial element in the safe and efficient functioning of the monetary union. in particular, financial markets that are more integrated provide strong support for the effective transmission of the single monetary policy and the smooth operation of the underlying payment systems. by enhancing the depth and liquidity of financial markets, integration also enhances the resilience of the european financial system