; capital rose by 0. 1 %, to rsd 68. 5 bn ; technical provisions gained 5. 7 %, coming at rsd 234. 3 bn. slide 4 : the current risks heightened the awareness about the importance of insurance it can generally be observed that the pandemic additionally heightened health concerns and awareness, bringing to the fore the importance of investment into financial security and the need for adequate asset coverage. the greatest absolute increase in the insurance premium was recorded for : 2 / 6 bis - central bankers'speeches property insurance, voluntary health insurance, motor third party liability insurance, full coverage motor vehicle insurance – " kasko ", and travel assistance insurance, which reflected the greatest impact of the pandemic in the year of the pandemic outbreak. slide 5 : nbs as the supervisor and regulator of the insurance market – activities in the service of citizens and corporates as for the responses of the national bank of serbia, as the supervisor and regulator of the insurance sector, in this challenging year of global uncertainty and crises we continued to take regulatory measures, some of which were part of joint efforts of all economic policy makers aimed at preserving the stability and living standard of citizens in the existing circumstances, that are in no way simple. if everyone carefully calibrates their decisions within the bounds of their authority, it will be easier to weather the global crises and their negative effects! for example, in may this year we adopted the decision on application of the sex factor in insurance which implements the provisions of the law on gender equality. i wish to particularly underline the cooperation with the insurers'association in the adoption of this regulation, which attracted considerable public attention. the decision introduced the greatest changes in undertakings'operations related to life insurance by equalizing insurance premium between men and women. in other words, insurance undertakings can no longer use the sex factor in pricing which entails differences in individual premiums and benefits. further, by amending the decision on reporting by insurance / reinsurance undertakings we prescribed the obligation for undertakings to timely submit information to the national bank of serbia about profit distribution and planned dates of dividend payment to shareholders. these amendments were adopted so that we could take timely action in our supervisory capacity to preserve the stability of an undertaking's financial position when that is assessed to be in the best interest of the insured persons. in august we also adopted the decision amending the decision on the system of governance in insurance / reinsurance undertaking,

has fallen to a low level of 4 percent. 1 / 4 bis - central bankers'speeches inflation is another story. the fomc defines price stability as 2 percent inflation, as measured by the personal consumption expenditures ( pce ) price index. 1 our commitment to 2 percent inflation is an important bedrock principle, providing a " north star " for policy decisions and helping to improve the public's understanding of our goals and actions. inflation reached a 40 - year high of 7 percent this past june. while it has since moderated to 5 percent, it is still well above our longer - run goal. without price stability, we cannot achieve maximum employment on a sustained basis. that is why it's so important for the fomc to use its monetary policy tools to bring inflation down. the inflation gears our most important policy tool is the setting of the target range for the federal funds rate, which influences demand for goods and services by affecting borrowing costs. to show how this is helping to reduce inflation, i've been using an analogy of a mechanism, such as a watch, that is powered by gears. the watch represents the economy, and its gears are different sectors. to keep time accurately, the gears need to turn at the right speed. but the ones that drive inflation have been spinning at different rates. the first inflation gear relates to globally traded commodities, such as lumber, steel, and grains. thanks in part to tighter monetary policy here and abroad, demand has eased, and commodity prices have moderated. the second gear, which represents goods such as cars, appliances, and furniture, is turning nearer where it needs to be, as higher interest rates have helped curb demand. supply - chain bottlenecks that plagued the economy earlier in the pandemic have receded, which is also helping bring goods price inflation down. 2 the gear that's having the most trouble turning represents non - energy services excluding housing. it's influenced by the balance of overall supply and demand for these services and labor, and it will likely take the longest to bring inflation in this sector down fully. well - anchored expectations one aspect of inflation that's important for achieving and sustaining price stability is the anchoring of inflation expectations. various measures of longer - run inflation expectations have remained well anchored at levels consistent with our 2 percent goal. 3 inflation expectations for the next few years, which increased as inflation was rising, have come down in recent months. the new york fed's