reversal of global liquidity, particularly, through the action of the federal reserve is likely. reversal of monetary policy stance by the federal reserve is likely to be cushioned by continuance of easy policy of other major central banks. china ’ s exchange rate policy in the context of ongoing slowdown also presents an external risk to asian currencies including the rupee. as economic slack diminishes with recovery in the domestic economy, the upturn in the investment cycle will require higher non - oil non - gold imports. easing of norms for gold imports could lead to a widening of cad in 2014 – 15. even though international crude oil prices are projected to stay low as price war intensifies, the re - emergence of geopolitical risks, particularly in middle - east and ukraine, may keep oil prices relatively firm and thus may have implications for india ’ s oil import bill. this may pose upward risks to india ’ s cad. further, notwithstanding a modest recovery in exports and adjustment of the rupee exchange rate in 2013 – 14, there are downside risks to exports due to uncertainty about the global growth outlook 39. lower cad, surge in foreign exchange reserves and exchange rate stability are signs of a more resilient external sector. improvements in external sector indicators, however, do not warrant any policy complacency. spillovers from renewed external pressures through the seven channels mentioned earlier may resurface and thus pose a challenge for india ’ s external sector. external sector strength is a function of global developments, fiscal & monetary actions of advanced economies as well as domestic economy and policies. given our limited role in influencing the global developments, the policy focus has to be on improving domestic macroeconomic fundamentals so as to minimize the impact of such spillovers. in particular, policy attention is required for redressal of sector - specific structural issues that affect growth, inflation, cad, fiscal deficit and overall competitiveness of the economy, a conducive business environment to ensure a better mix of capital flows will focus on stable non - debt creating flows and improved governance. what gives confidence to india watchers within & outside the country is that significant steps are being taken in the policy and execution space of the country. h. summing up 40. financial crisis, as a phenomenon, has been recurring at frequent intervals – every crisis is new but the impact is, in many ways, similar. for india, external sector vulnerabilities are relatively lower than in the past

speech the song remains the same june 01, 2022 john c. williams, president and chief executive officer remarks at the new york fed and columbia sipa monetary policy implementation workshop, new york city as prepared for delivery good morning, everyone. i'd like to give my thanks to columbia university's school of international and public affairs for partnering with the new york fed once again and for hosting us today. it's wonderful to be here and to see so many colleagues who have traveled from near and far to attend this workshop. we'll have many important conversations over the next two days. to kick us off, i'm going to share some observations on the digital transformation of money and payments. i'll also discuss the potential implications for monetary policy implementation and for central banks more broadly. before i begin, i must give the standard fed disclaimer that the views i express here are my own and do not necessarily reflect those of the federal open market committee ( fomc ) or anyone else in the federal reserve system. i will get to payments technology in a minute. but first allow me to take you back to the year 1877. you're amazed at the sound of music coming out of a new inventiona€ ” the phonograph. fast - forward a century, and you're listening to your favorite band on a cassette tape. in the 1980s, it's a cd. in the 2000s, you're scrolling through the greatest hits on your ipod. and today, perhaps even on your way here, you listened to a streaming service on your phone or watch using voice commands. there's been much innovation over the years, and many improvements in terms of convenience and costs, but at the most basic level we are still doing the same thing : enjoying music. it's how we're doing it that's changed. the same is true with money and payments. both are fundamentally changing through technological transformations. as happened with the delivery of music, the pace of technological advancement is accelerating, and it's clearing the way to do things faster or more efficiently. on top of that, the development of digital currencies has boomed. this includes cryptocurrencies that are not fully backed by other assets. it also includes stablecoins that are fully backed by safe and liquid assets, and central bank digital currencies ( cbdc ). both stablecoins and cbdc that are fully backed by safe assets have the