The Bank of Russia sought to pursue a balanced policy in developing the banking sector. On the one hand, we helped banks adjust to the new conditions and eased banking regulation, on the other hand, we stuck to the policy of resolution of the banking system and countering fictitious transactions. Our key objective is to have a sustainable, capitalised financial system capable of funding the economic growth. In 2015, the banking system accumulated capital, household deposits recovered, and lending to the real sector grew slightly. In the first half of the year, the banking system suffered losses, but returned to profits by the year end. Profit stood at 192 billion rubles in 2015, and 234 billion rubles in the first five months of 2016. In 2016, we expect profit to be about 500 billion rubles. To develop the banking regulation, the Bank of Russia continued to introduce international standards, including Basel regulations, implemented compensatory measures to ease the adjustment of the banking system to the new environment, and introduced its own regulatory measures which take account of the specific risks of the Russian banking system. We continued to pursue a sequential policy of banking sector resolution. Unfortunately, the pace of licence revocation was high. Here we seek to occupy a more proactive position in  2  BIS central bankers’ speeches  supervision, and take early warning and preventive measures. For this purpose we improve our internal procedures. Thus, we decided to establish a risk assessment service.
It aims to help people find out more about the notes and coins they use every day. On this occasion, though, there’s something new. The highlight today is the brand new ten euro note. It’s the first time it has been on public display since it was unveiled to the media just two days ago at the ECB in Frankfurt. That means you’ll be one of the first to see this new note before it starts circulating on 23 September this year. The new ten euro is part of what we call the Europa series of banknotes. It’s named after the figure from Greek mythology whose portrait is included in the hologram and the watermark on the notes. Take a closer look at those two security features in the exhibition, as well as the distinctive emerald number, which changes colour from green to deep blue when you tilt the note. They’re all examples of how we have used advanced technologies to make the notes even more secure. The security features will keep us well ahead of counterfeiters – and justify the confidence that the people of the euro area have in their money. There’s a lot more to be seen in this exhibition, which I hope you will all find as interesting and entertaining as I did. So without further ado, allow me to declare it open. BIS central bankers’ speeches  1