The COVID-19 pandemic has exacerbated the pre-existing inequities in America’s economic system and created a slowdown in global trade. Treasury must address systemic issues in the financial system and strengthen economic resiliency for all Americans. The Department must take the lead internationally to partner with foreign countries to advance ambitious policies for equitable global recovery and sustainable growth.
An expanding array of transnational threats, continued instability in weak states, and the malicious use of critical and emerging technologies by adversaries present security concerns for the United States that may impact the integrity of the U.S. financial system, which is foundational to our national security. As foreign and domestic actors threaten American economic and national security, Treasury must apply its tools and strengthen bilateral and multilateral partnerships to defeat these threats and take a leading role in protecting the U.S. and international financial systems from abuse.
The COVID-19 pandemic also exposed existing vulnerabilities in the financial system, especially in the nonbank financial sector, and caused additional stress to global and domestic economies. To improve financial resiliency ahead of the next inevitable crisis and reduce associated costs to the economy, Treasury must address vulnerabilities in core financial markets through responsible regulatory reforms. These reforms include improved liquidity risk management and adjustments to financial market infrastructure considering changes in technology and investor demand.
The United States and the world face a climate crisis and a narrowing window of action to avoid the worst impacts of climate change. At the same time, the transition to a low carbon economy represents a historic economic opportunity for the U.S. and global economy. The U.S. federal government must work alongside our domestic and international partners to respond ambitiously to tackle the challenges of climate change, adapt to an already changing climate, mitigate the risks, and position the global economy for clean and sustainable growth.
Modernizing Treasury’s operations is critical to achieving Treasury’s mission and strategic priorities. In particular, the Department will focus on a narrow set of enterprise-level improvements that, if made, will improve mission delivery across all organizations and strategic objectives. These include building and retaining a workforce that represents the diverse people and communities the Department serves, enabling the work routines of the future to capitalize on the lessons learned from the pandemic work environment, strengthening decision-making through improved use of data, and increasing trust in government by building consistent customer experiences.