Raghuram Rajan, the Governor of the Reserve Bank of India, has recently joined an effort at the World Economic Forum (WEF) to analyze the future of global financial system, whose members include policymakers and bankers around the world.
The WEF, a nonprofit group based in Geneva, had recently held their 46th Annual Meeting last week in Davos. According to the organization, the high profile “task force” will focus on including the emerging market economies in the global financial system, technological innovation, and the economic cost-benefit of post-crisis regulatory reforms.
What you need to know about the Task Force
The task force was created per request of Mark Carney, the Governor of the Bank of England and the Chairman of the Financial Stability Board, and Klaus Schwab, the Founder and Executive Chairman of WEF. The Financial Stability Board, which is headed by Carney, writes and coordinates regulations for the world’s main financial centers. This means that any recommendations will be put into a hearing by world leaders.
The group is tasked to identify, analyze, and give recommendations in accordance with the major transformative forces that influence the future of world finance and economics, according to the WEF.
The annual WEF meeting in Davos last week tackled about the Fourth industrial Revolution, or the idea that technological advancement will pave the way to an even greater level of automation and transformation of the global economy.
Giancarlo Bruno, the Managing Director of WEF, said that the timing of the establishment of the task force was consistent with the focus of WEF on the Fourth Industrial revolution. “Its work will look into the implications of innovation on stability of the financial system and its role as a growth engine,” he said.
The Members of the Task Force
Citigroup Chief Executive Officer Michael Corbat, BlackRock Chairman and CEO Laurence Fink, HSBC Chairman Douglas Flint, and Bank of America Chief Brian Moynihan are among the members of the task force that represents the private sector.
They are joined by Carney and Rajan, Min Zhu (the deputy managing director at International Monetary Fund), and Liu Mingkang (a popular research fellow in global economics and finance at the Chinese University of Hong Kong).
The task force members have met for the first time at the WEF Annual Meeting. They are expected to come up with a comprehensive set of actions and recommendations at the next Annual Meeting in January 2017.
About World Economic Forum
The World Economic Forum is an International Organization for Public-Private Cooperation. It is committed to enhancing the state of the world. It engages world leaders in politics, business, and the society to help create agendas that benefit the world, a region, and an industry.
WEF was established in 1971 as a nonprofit organization based in Geneva, Switzerland. It is independent, impartial, and is not tied to any special interests. They aim to demonstrate entrepreneurship in the global public interest while upholding their highest standards of governance. In everything that the organization does, they make sure to maintain moral and intellectual integrity.