, central banks cut off the negative loop between financial markets and the real economy. we have certainly made full use of our experience in the global financial crisis. the second feature is the coordination of fiscal and monetary policies. while central banks provided liquidity lifelines, governments strengthened safety nets such as income - support and job - retention measures. the division of labor between fiscal and monetary policies has generated synergy effects and contributed to preventing the economy from sliding into a free - fall. looking to the future, the challenges facing policymakers will likely change. the initial phase has been liquidity support. this will likely change to solvency and corporate viability problems, and then to resource re - allocation in response to structural changes in the economy. at the same time, policymakers face the additional challenges of the economic inequality that has become even more apparent during this health crisis, and the response to increasing worldwide concerns over climate change. likewise, the nature of the policy responses will also shift from temporary first aid measures to medium - to long - term structural policies. to one degree or another, this set of challenges is related to the stability of inflation, the real economy, and the financial system. in this sense, we are seeing a widening in the scope of issues that central banks should take into account. iv. adapting to the new normal so far, i have touched on the economic perspectives and on policy challenges. these factors will in part shape the post - pandemic new normal, although exactly how remains to be seen. one thing for certain, however, is that the world we live in will not be the same as that before the pandemic. after more than a year of living with the pandemic, we have seen a drastic change in the way our society works. in particular, the expansion of digital technology has led to a fundamental transformation in society, in ways that we could not have imagined. as i noted earlier, the shift from in - person to online activities has taken place in all aspects, such as of work, business, education, and health. expansion in the areas of remote working, online shopping, remote learning, and telemedicine is just a few examples. i myself have participated in many online 2 / 3 bis central bankers'speeches international meetings over the past year. i have benefited considerably from digital technology that allows me to reach people in different places all over the world, all at the same time. indeed, it is thanks to the online format of

negative influence may spread across the board. the bangladesh bank heist in the beginning of this year was the case that abovementioned risk was materialized. for the sound development of fintech, information security is a key. fintech has various characteristics, such as advanced information processing utilizing big data and ai. additionally, fintech is characterized by an “ openness ” of networks, with the expansion of new media and instruments, including internet and smartphones, enabling ready access to financial services. this enhanced accessibility to financial services benefits customers and adds to their convenience. on the other hand, as financial networks become increasingly “ open, ” potential target points for cyber - attacks also tend to increase. therefore, how to simultaneously manage “ openness of financial networks ” and “ information security ” is a big challenge for fintech. financial services can be regarded as the processing of information for creating value in the linkages between economic entities over time and space. this is demonstrated in the payments and financial intermediation that connect various entities, such as senders / receivers and lenders / borrowers. in this sense, such activities must always be supported by people's “ trust. ” since fintech is illustrated as a technologically advanced form of financial services, the importance of trust also applies to fintech. for the development of fintech, it is imperative to firmly maintain people's trust in financial services while facilitating the creativity and innovation needed to meet the needs of people. if information security problems were to repeatedly occur in a part of fintech services, public trust toward fintech in general would be eroded even though such problems are caused by a limited number of entities. people ’ s anxiety for new services would hinder the sound development of fintech overall. bis central bankers ’ speeches the information technology behind fintech, if properly applied, should and can also contribute to enhancing information security and the safety of financial transactions. for example, seal stamps and pins, which are traditional measures for verification in financial transactions, are accompanied by certain risks, such as theft and identity theft. in this regard, biometric authentication utilizing new technology may contribute to reducing these risks and strengthening the security in financial transactions. thus, it is critical for relevant parties to make utmost efforts to use technological innovation for enhancing security in financial transactions. fintech will thrive and grow when users associate it not only with convenience but also with safety and trust. iv. initiatives at the bank of japan fintech has various implications for central banking.