global players like large card networks or bigtech firms from china and the us. moreover, citizens and businesses should be able to send and receive cross - border payments to and from countries beyond the euro area under the same conditions and with the same ease as within as was highlighted this morning by bundesbank president jens weidmann. clearly, we need comprehensive european answers to the challenge posed by digitalisation while harnessing the benefits it offers. and these answers need to be inspired by a different mindset than before – just as einstein suggested. at the end of the day, it ’ s payees and payers who should ultimately benefit from being the focus of this mindset. as soon as possible, users should be able to send and receive payments throughout europe in a convenient and cost - efficient, safe and secure way. the underlying payment solution should be 1 / 3 bis central bankers'speeches recognisable as a common brand, enjoy european governance and seek global acceptance. the eurosystem took a first step towards making this vision a reality with its retail payments strategy. 1 today we learned more about the eurosystems ’ reasoning, ambitions and plans to foster payment system development in europe. the european commission recently picked up on this concept in its own retail payments strategy. 2 it is part of a comprehensive range of measures laid out in the so - called digital finance package. this morning it was further outlined by mairead mcguinness how this package will facilitate the digital transformation in financial markets. the bundesbank is fully supportive of these efforts, including during the german presidency. although some details merit further discussion, it became clear today that this package strikes just the right balance between reaping the benefits and mitigating the threats presented by the digitalisation of payments. olaf scholz, rightfully, emphasized the strong political will set on these topic. there ’ s just one point i would like to highlight : sepa instant payments are about to become the “ new normal ” in payments. a number of issues still need to be resolved, though. these include, first, pan - european reach – this is crucial for “ making it ” in the instant world. second, providers have to develop compelling solutions for end - users in all different payment situations : be they mobile, offline or online. ideally, these are seamlessly connected to a comprehensive range of relevant uses cases. introducing biometric authentication could further enhance attractiveness. third, matters of real - time

, with temperatures of up to 40 degrees celsius. the heat adds to a long - running drought, further exacerbating water shortages in parts of the country. 1 climate change is hitting home. it is not only destroying livelihoods, it can also hurt output and influence inflation. think of the horrendous flooding in pakistan, which pushed food prices sky - high. to give you some numbers : global losses from natural disasters totalled 270 billion us dollar last year, according to munich re's natcat service. roughly 55 % was not insured. 2 in a nutshell, climate change affects the real economy and thus central banks'mandate. central bankers and supervisors globally must continue to improve their economic models to better capture climate risks. 3 nature - related risks and biodiversity loss 3. 1 widening the focus i would even go a step further and argue that central banks and supervisors also need to consider nature - related risks and biodiversity loss. it is time to widen the focus for a simple yet important reason : because there will be no stable climate without a healthy natural world – and vice versa. in other words, climate change and biodiversity loss are interconnected and mutually reinforcing. still, nature and biodiversity are disappearing rapidly. and human activity is driving it. deforestation for example and the degradation of fertile land is not only putting wildlife at risk, it also destroys communities, output and hence welfare. according to the world economic forum more than 50 % of global economic output depends on nature. 3 if selected ecosystem services were to collapse, it would cause a decline in global gross domestic product of more than 2 % annually by 2030, according to world bank estimates. 4 3. 2 ngfs work global central banks and supervisors have been taking note. the network for greening the financial system ( ngfs ) – of which i am the vice chair – has set up a task force on biodiversity loss and nature - related risks. while the task force's final recommendations are still outstanding, evidence is already pointing in one direction : if financial institutions continue to ignore nature - related risks – as the majority are doing right now – then this could hurt banks'risk profile and hence their profitability. 2 / 4 bis - central bankers'speeches ignoring nature risks could, for example, lead to losses on corporate loan books and asset holdings. there is an urgent need for further research on the transmission channels from nature loss to the economy and the financial system. unfortunately, the data