We must preserve this. I think there are two priorities for international co-operation in the wake of Covid-19: first, keeping supply chains open; second, strengthening digital connectivity. Keeping Supply Chains Open Let me start with supply chains – of trade, transportation, and logistics. The consensus in favour of globalisation was already shifting before the virus hit, with growing concerns that the fruits of free trade and open markets were not shared equitably. Now, with Covid-19, doubts about the pace and scale of global economic integration have intensified. Amid the lockdowns and disruptions in global supply chains, countries are realising how dependent they are on these networks – and hence vulnerable. There is naturally a temptation to shorten supply chains, or bring onshore the production of essential goods, or impose export controls to conserve supplies for 1/4  BIS central bankers' speeches  domestic use. There will likely be a shift in supply chains, with a rebalancing from efficiency to resilience. This is not necessarily bad, knowing what we now know about our vulnerabilities. Building resilience is not about retreating behind our respective borders. Doing so will only diminish our collective resilience to shocks, not enhance it. Resilience is not achieved through insulation or in-shoring. If every country were to try to grab what it could, we will all end up with less. The more effective way to build resilience in a post-Covid world is through greater diversification of supplies and building redundancies in global value chains.
Timothy F Geithner: The Fed Challenge Remarks by Mr Timothy F Geithner, President and Chief Executive Officer of the Federal Reserve Bank of New York, at the National Academy Foundation’s 2004 Dinner, New York, 8 December 2004. *  *  *  Thank you, Gene, for that generous introduction. It is a pleasure to be here tonight to celebrate the National Academy Foundation and all of your contributions to this important mission. I am very pleased to accept this award on behalf of the Federal Reserve Bank of New York. I want to compliment Sandy Weill on his commitment to education and the achievements of the NAF. And I want to recognize three important people from the New York Fed who are responsible for the Fed Challenge: Steve Malin, Lloyd Bromberg and Bob Diamant. Among these and other contributions to public service, Sandy serves as a member of the board of directors of the New York Fed. I want to tell you his reaction to a presentation early this year on our work in financial education. Sandy listened carefully to the description of the full array of New York Fed programs. Then, in his typically tentative and understated way, with the same soft approach he brought to building one of the most formidable financial institutions in the world, asked why the Bank didn’t limit its role in education to simply supporting the National Academy Foundation.