flow of credit – serious financial instability imposes disproportionately large costs on the broader economy. the rationale for public investment in the financial industry is not, therefore, any special regard for managers, workers, or investors in that industry over others, but rather the need to prevent a further deterioration in financial conditions that would destroy jobs and incomes in all industries and regions. that said, the public is entitled to demand that policymakers take near - term, concrete actions to ensure that we do not face a similar crisis in the future. an important part of those actions should be to create a stronger supervisory and regulatory system in which gaps and unnecessary duplication in coverage are eliminated, lines of supervisory authority and responsibility are clear, and oversight powers are sufficient to curb excessive leverage and risk - taking, particularly in systemically critical institutions. the federal reserve stands ready to work closely with the congress to achieve meaningful and effective regulatory reform. thank you. i would be pleased to take your questions.

and its people and institutions. the future of asean needs to be built on the collective actions that are for the advancement of asean. businesses have already been proactive in harnessing the benefits arising from the diversity bis central bankers ’ speeches and complementarities in the region. to date, these efforts have culminated in the launch of the asean economic community in 2015. in a global landscape that is constantly evolving, uncertain and complex, building effective and smart partnerships has become an imperative for the common goals that asean aims to achieve. partnerships are important because no one entity has all the solutions, answers and expertise to take full advantage of all the opportunities and synergies that are created in such partnerships. moving forward, building successful partnerships is an important strategy to realise the true economic potential of asean. as an example, effective partnerships in the financial sector have made important contributions to institutional building in our financial systems. it allowed shared knowledge and expertise to tap into opportunities to create scale and efficiencies for the development of common infrastructure. another area that has leveraged effectively on partnerships has been in developing the ecosystem to support start - up businesses. an example of this is the malaysian global innovation & creativity centre ( magic ) asean startup track which builds a community of startups within asean and accelerates their timeto - market - readiness. there are also various financial technology or ‘ fintech ’ initiatives by regional financial institutions that foster partnerships to accelerate financial innovators in the region. in 1919, an american biochemist discovered the four basic building blocks that form the dna ’ s iconic double helix structure. similarly, i believe that successful partnerships are also anchored by four strong foundations in its dna, namely adaptability and responsiveness, complementarity, trust, and governance. let me elaborate on these essential foundations for success for aspiring policymakers and entrepreneurs to reflect on. the first base of a strong partnership is adaptability and responsiveness. in today ’ s world, challenges will not be easily addressed with conventional and one - dimensional solutions. with greater interconnectedness and intensification of competition, one needs to draw on broader perspectives that can be gained from partnerships, to build the agility to manage in an everchanging environment. in a partnership, it is important to strive for mutual respect and recognition of the differing needs, preferences and interests, and to encourage an open dialogue around them. in this, the parties involved need to be adaptable and responsive in offering pragmatic solutions that will deliver on the