This year has been one of profound global economic and geopolitical uncertainty. As we navigate a world increasingly marked by fragmentation, uncertainty and conflict, Europe must reaffirm its role as a pillar of economic and political stability.

And with the foundations of global balance under strain, the international financial system is also entering uncharted territory. A key part of this evolving landscape is the rapid rise of crypto-assets and stablecoins. For this hearing, you asked me to elaborate on the emerging challenges and opportunities associated with these new digital assets.

First, however, I would like to update you on the ECB’s assessment of the euro area economy and our monetary policy stance.

The outlook for the euro area and the…