, immigration policy, and trade policy. climate change is another current example. policies to address climate change are the business of elected officials and those agencies that they have charged with this responsibility. the fed has received no such charge. we do, however, have a narrow role that relates to our responsibilities as a bank supervisor. the public will expect that the institutions we regulate and supervise will understand and be able to manage the material risks that they face, which, over time, are likely to include climate - related financial risks. we will remain alert to the risk that there will be pressure to expand that role over time. we are not, nor do we seek to be, climate policymakers. in short, doing our job well requires that we respect the limits of our mandate. thank you. i look forward to our discussion. 1 see, for example, alberto alesina and lawrence h. summers ( 1993 ), " central bank independence and macroeconomic performance : some comparative evidence, " journal of money, credit and banking, vol. 25 ( may ), pp. 151 – 62 ; christopher crowe and ellen e. meade ( 2007 ), " the evolution of central bank governance around the world, " journal of economic perspectives, vol. 21 ( fall ), pp. 69 – 90 ; christopher crowe and ellen e. meade ( 2008 ), " central bank independence and transparency : evolution and effectiveness, " european journal of political economy, vol. 24 ( december ), pp. 763 – 77 ; and n. nergiz dincer and barry eichengreen ( 2014 ), " central bank transparency and independence : updates and new measures, " international journal of central banking, vol. 10 ( march ), pp. 189 – 253. 2 we expect to release the results of this review about a year after it begins. 3 / 3 bis - central bankers'speeches

widening of the access to the china interbank bond market to a broad range of foreign financial institutions without any quota restrictions. • and, earlier this month, the bank announced that it would extend nationwide the pilot measure for cross - border financing by mainland corporates and financial institutions, with the result that case - by - case pre - approval is no longer required. 12. these initiatives demonstrate the central government ’ s commitment to liberalising the mainland ’ s capital accounts. they also present cfos and treasurers with new opportunities to meet their business and investment needs. and, there will be more to come. premier li keqiang has said the shenzhen - hong kong stock connect will be launched later this year. 13. secondly, the “ china connection ” is growing rapidly. let me briefly explain what i mean by this : in 2014, china ’ s odi amounted to us $ 123 billion, 10 times the amount in 2005. this number will be even bigger in the years to come as chinese corporates go global, and as the implementation of the “ belt and road ” strategy helps more chinese corporates to invest in these countries. at the same time, multinational corporates are paying more and more business attention to china. in 2015, fdi into china reached us $ 126 billion, compared to us $ 72 billion in 2005. the point here is that with more business opportunities, either because chinese corporates are “ going out ” or multinational corporates are expanding into china, comes the need for more sophisticated treasury management. 14. thirdly, while corporates find more business opportunities, they also face even more challenges which you, as corporate treasurers, are probably well familiar with. for example, increasing market risks, where corporates operating in multiple countries are faced with growing exposures to different currencies and rates. in fact, divergent monetary policies among key advanced economies have led to greater volatility in the global foreign exchange market. and, with the international use of the renminbi on the rise, the reform of the yuan ’ s exchange rate since august 2015 has also resulted in more two - way movements of the exchange rate against other currencies. these recent developments have created more market risks. 15. lastly, global regulatory reforms have also had an impact on corporate treasury management. these reforms, particularly the higher capital and liquidity requirements under basel iii, have led to more constraints on global banks in providing funding and making a market for hedging tools for corporate