John,

In the last few weeks, we’ve seen the failure of three U.S. banks, the downward spiral of a global bank, and the shares of smaller institutions tumble as fears rise about the stability of our financial system. In the wake of these crises, we are left wondering what went wrong, what needs to change, and for whom?

At Common Future, we’re working to build an economy that works for all people—especially those who face discrimination and racism within our systems. As we reflect on the events of the last few weeks, we think they speak to the changes we aim to see through our work to redefine the financial system. Read our thoughts on these crises, and our vision for a way forward.
 

It’s never been more important to have conversations about what a more equitable financial system might look like. Moving forward, we want to see the system prioritize these values:

• Redefining risk: While dominant players in the financial system prioritize shareholders and profit margins, community-based intermediaries place people—who are perceived as more risky and who have been excluded as a result of systemic racism—at the center of their work. These community-based solutions should be prioritized, especially in moments of turmoil like we find ourselves in now.
• Shifting who bears the cost of failure: We need to ensure that individuals and communities are not bearing the cost of failure, especially those who have faced exclusion and, as a result, have limited access to resources.
• Centering trust: Many folks in BIPOC communities already have a lack of trust in banks, given systemically embedded and proven racist practices of extraction and exclusion. Building trust with our BIPOC communities necessitates being in a relationship and understanding from their words and ideas what they need.

If we continue to operate as we have before, we will further distance ourselves from designing an equitable financial system. We are grateful to have this community working alongside us.

In solidarity,
—The Common Future Team

P.S. We want to hear your thoughts—join the conversation here.