has been stimulated through a number of channels. lower policy rates brought forward consumption to today from spending tomorrow – the real interest rate channel. the all - in costs of borrowing were lowered, boosting existing borrowers ’ spending power – the cash flow channel. and lower funding costs for banks increased the availability of credit – the credit channel. lower discount rates and portfolio balance effects supported asset prices – the wealth channel. currencies ’ values fell, boosting competitiveness – the exchange rate channel. and determined central bank action and forward guidance put a floor under inflation expectations and bolstered sentiment – the confidence channel. in this way, central bank actions combatted the worst global downturn since the great depression. all of these tools, and many variants of them, are still available to central banks if needed. with their arsenal well - stocked, the real questions for global reflation are how best to deploy these weapons and whether they will be reinforced by other policies. low interest real rates have bought time by bringing forward demand to today from tomorrow. 5 but, to paraphrase my predecessor, lord king, having brought forward demand for years, tomorrow is now yesterday ( and he said that three years ago! ). in other words, most central banks need the other channels of monetary policy to work harder. the scale of unconventional measures is impressive. asset purchase programmes have been extended, notably in the euro area and in japan. the largest four central banks bought assets worth $ 1. 2 trillion in 2015, similar to the amounts purchased post - lehman and during the 2013 euro - area crisis. adjusting for lower government debt issuance, that leaves an unprecedented flow of net qe, with only $ 400bn of additional government debt sold to the private sector, compared to $ 3 trillion in 2010 ( chart 9 ). king, m ( 2013 ), speech given at the cbi northern ireland mid - winter dinner, belfast, 22 january 2013. bis central bankers ’ speeches chart 9 unprecedented net qe ( a ) $ bn 1, 500 1, 000 - - 500 - 1, 000 - 1, 500 - 2, 000 - 2, 500 total central bank asset purchases - 3, 000 total gross public debt issuance - 3, 500 total net - 4, 000 source : boe, ecb, frbny, bloomberg, datastream and bank calculations ( a ) us, uk, euro area and japanese qe and government debt issuance. converted into us dollar terms using

shape, we incorporate your perspectives on the real - world consequences of any considered reform. i look forward to our conversation. 1 the views expressed here are my own and not necessarily those of my colleagues on the federal open market committee or the board of governors. 4 / 5 bis - central bankers'speeches 2 as noted in vice chair for supervision michael barr's review of the supervision and regulation of silicon valley bank, " [ the ] report was written with the benefit of hindsight on the particular facts and circumstances that proved most relevant for svb and svbfg. the report was prepared in a compressed time frame from march 13, 2023, through april 28, 2023, and further work over a longer period could draw additional or different conclusions. " barr, review of the federal reserve's supervision and regulation of silicon valley bank. as noted in the material loss review of svb, the objective of the report was to determine why svb's failure resulted in a material loss to the deposit insurance fund, and to assess the federal reserve's supervision of svb from january 2018 through march 2023. board of governors of the federal reserve system, evaluation report 2023 - sr - b - 013 ( september 25, 2023 ). 3 federal reserve sr letter 99 - 17 ( june 24, 1999 ). 5 / 5 bis - central bankers'speeches