prerequisite to stakeholders trusting us and it forms part of living our values. it aligns with our aim that “ our culture, resources and capabilities support the effective and efficient delivery of our mandate whilst maintaining the highest standards of governance and risk management. ” at a global level, it is clear that the risk environment is continuously evolving, exacerbated by the pace of change, and the broader and very significant risks society itself must confront, not least climate related. for these reasons, it is important that our institutions continue to enhance their approach to risk management, and recognise that the lines between financial and non - financial risk will continue to blur over the longer term. naturally, tone from the top is critically important, and senior leadership must not only embrace their first line risk management responsibilities, leveraging the frameworks, policies and supporting toolset of the second line, but also continually foster a culture of risk awareness, seeking when possible to design risk out of our institutions. 1 / 2 bis central bankers'speeches it is a pleasure to open this virtual meeting of the international operational risk working group. in doing so i welcome a very diverse representation of participants from across the world. this network has continually strengthened and grown since its foundation in 2006. it facilitates an opportunity for all of our respective institutions to share learnings. the iorw g can help guide our institutions, by looking to raise the bar on the standards of operational risk management and facilitating peer dialogue on emerging risk issues. we should benchmark ourselves against each other, relevant industry standards, and maintain a broad perspective on how the risk landscape is evolving, to ensure we remain capable of mitigating controllable risk. it is our pleasure to host this virtual conference and i encourage you all to participate and contribute over the next three days. welcome to dublin. — — — — — — — — — — — — — — — — — — — — — references bernstein, p. l. ( 1996 ). against the gods, the remarkable story of risk. john wiley & sons inc. 2 / 2 bis central bankers'speeches

gabriel makhlouf : remarks on the occasion of the publication of “ love you ” remarks by mr gabriel makhlouf, governor of the central bank of ireland, on the occasion of the publication “ love you : public policy for intergenerational wellbeing ” by girol karacaoglu, 17 february 2021. * * * good morning and good evening. it ’ s a pleasure to join you at this book launch, and to congratulate the publishers and of course the author, my good friend girol karacaoglu. i ’ m particularly pleased to have been asked to say a few words on the background and context for the wellbeing work programme ; it ’ s been a good opportunity to reflect on that part of the journey that ’ s now about a decade old, although much older overall and in many ways still young. wellbeing has been a focus of economic policy for a very long time but i ’ ll take 2011, the year girol joined the treasury, as my starting point for today. i became treasury secretary earlier that year, a week after my predecessor – john whitehead – spoke at the publication of a treasury paper on the living standards framework saying, quite rightly, that work on wellbeing was not new but one of the aims of the paper was “ to provide some clarity around the ultimate aims of [ the treasury ’ s ] work ”. the framework may not have been new but i felt its time had come, for a number of reasons : economics was going through another intellectual turbulence, at least in the western world, triggered by the global financial crisis and reflecting an emerging recognition that traditional policy approaches were unlikely to be adequate to confront the complex challenges of the modern era, such as the impact of deep international interconnectedness, technological and climate change, along with growing social disconnection and lack of trust in established institutions ; for me it was noticeable that the emerging recognition of the need for different policy approaches was not reflected in the dominant public policy narrative in new zealand at the time. commentators and policy practitioners appeared to be trapped in a frame of reference that seemed to me at best to be outdated ; apart from the treasury ’ s 2011 paper, joe stiglitz, amartya sen and jean - paul fitoussi ’ s 2009 report had helped shape my thinking, as had the australian treasury ’ s own wellbeing framework ( and i recall david gruen coming to wellington in 2011 to talk about their work