In addition, the new regulatory changes, both prudential and resolution policy-related, require not only the availability of ample capital levels but also, moreover, of other liabilities-side instruments able to be converted into capital if needed. Taking advantage of the foreseeable improvement in economic conditions to raise the return on equity, while responding to new regulatory requirements, is a notable challenge for the financial system. 3  4  Note that this figure does not include the sale of shares of Bankia by BFA (100%-held by the FROB) in February – accounting for 7.5% of capital, at the price of € per share – insofar as the liquidity obtained remains in the selling institution and is not therefore a refund of assistance until BFA’s capital is amortised. BIS central bankers’ speeches  The path pursued by the sector as a whole – to contain financial and operating expenses while combining diversification with the harnessing of competitive advantages and moderating dividend pay-outs and remuneration – is an appropriate one for adjusting to the new competitive, regulatory and supervisory environment within the framework of the SSM. Turning to what are essentially institutional matters, several challenges remain. I would like to indicate three of these. First, to conclude the reform of the Spanish banking sector, it is necessary to complete the adaptation of savings banks to the new arrangements stipulated in Law 26/2013 of 27 December 2013 on savings banks and bank foundations.
François Villeroy de Galhau: What responses to terms of trade shocks in poor and vulnerable countries? Speech by Mr François Villeroy de Galhau, Governor of the Bank of France, at the Bank of France-FERDI (Fondation pour les Etudes et Recherches sur le Développement International) conference, Paris, 24 January 2017. * * * Good morning and welcome to all in the auditorium of the Banque de France. It is a great pleasure to welcome you here with Patrick Guillaumont, President of FERDI and coorganiser of this conference, to whom I extend my warmest greetings. I would also like to welcome Jan Gunning, Professor Emeritus at the Free University of Amsterdam, as well as all the speakers who honour us with their presence. The Banque de France has established research partnerships with several foundations and universities: the Paris School of Economics, the Toulouse School of Economics and the Fondation nationale des Sciences politiques. The partnership with FERDI (Fondation pour les études et recherches sur le développement international), which we are pleased about, focuses on extending and enriching discussions and research on monetary and financial issues related to development, including: the financing of development, in particular the mobilisation of domestic and international savings, the competitiveness of African countries and exchange regimes and strategies, regional integration in Africa, which was the theme of our first conference in 2014, the “curse” of commodities in low-income countries, and the management of the Dutch syndrome and the terms of trade cycles, i.e.