emerging risks in the banking sector, to exchange information on standards and best practices on new or increasingly relevant topics, and to work on a minimum convergence of supervisory practices. and if i am informed correctly, many of the topics i will mention can be found in the 2019 work programme of the bcbs. first and foremost, the bcbs should monitor how the new basel rules are implemented in national laws and ensure it has a thorough overview of how these are then translated into supervisory practices. it should also foster an intensive exchange of information about the risks and vulnerabilities we see in today ’ s and, in particular, tomorrow ’ s macroeconomic environment. these discussions should also cover the approaches supervisors could use to analyse, assess and react to these upcoming risks via pillar 2, or other instruments. after all, a us supervisor ’ s challenge today may be a european supervisor ’ s concern tomorrow. i believe that supervisors from around the world would benefit from sharing views and experiences. the one thing we have to keep in mind is this : good supervision is a positive - sum game – everyone wins. the bcbs could and should be a hub for exchanging supervisory knowledge, tools and approaches regarding cyber risk. and finally, the bcbs could be of great help for supervisors regarding operational, legal and reputational risks in banks which are linked to conduct risks or anti - money laundering. the same is true for green finance or climate - related risk. here, too, a structured exchange of information about different tools and methods would help to strengthen supervision globally. 2 / 2 bis central bankers'speeches

often proved to be incompatible with fixed exchange rate regimes. at the same time, domestic macro policies have too often conflicted with the objective of external stability. the result has been the periodic emergence of domestic and external imbalances, which not infrequently unwound in a disruptive manner. let me give you just a few examples. a first period that characterises the evolution of the international monetary system is that of the classical gold standard from the second half of the 19th century to the outbreak of world war i. at first sight, this appears to have been a period of considerable stability and prosperity. countries enjoyed low average long - term inflation and steady growth of economic activity. exchange rates were fixed via parities to gold and the money supply was thus tied to gold reserves. therefore, any balance of payments disequilibria would trigger changes in bis central bankers ’ speeches monetary conditions and thus external balance was easily restored through the adjustment of prices and production. the drawback of this mechanism, however, was that it induced significant volatility within the domestic economy, as prices and production fluctuated considerably in the shorter term. thus the gold standard, while delivering external and internal balance over the long run, came with substantial welfare costs in the short run. in order to accommodate adverse shocks, some countries in exceptional periods temporarily abandoned the gold standard but subsequently resumed convertibility. this was also the case during world war i. the attempt, however, to return to a gold standard after the war ultimately failed. states had allowed for massive inflation given the need to finance the war, but then reintroduced gold parities partly at pre - war rates. this led to substantial misalignment of exchange rates. in addition, the process of democratisation made it increasingly difficult for the authorities to subordinate domestic policies to the stability of the exchange rate. thus, the interwar gold bullion standard suffered from a structural lack of credibility and trust in the sustainability of the fixed exchange rate regimes that were in place. eventually, the international monetary system collapsed, triggering competitive devaluations, barriers to international trade and capital controls in the midst of the great depression. the bretton woods agreement that framed the international monetary order after world war ii was influenced by these failures and therefore included some corrective elements : exchange rates could be adjusted where needed and capital controls would limit speculative flows. at the same time, the international monetary fund ( imf ) was established in order to finance exceptional balance of payments