We trained them to deliver talks to the migrants in their native language on various aspects of using formal remittance channels. This helped not only to address communication barriers, but also encouraged confidence as the migrant workers could better connect and identify with the ambassadors. In our education efforts, bringing our programs to the locations where the migrant community live, work and congregate also had a significantly positive impact on narrowing a perceived power distance between formal MSB providers and workers. It also had the effect of creating a positive impression on the quality of services offered by MSB providers. This was also true for SMEs, with a positive effect observed between higher levels of proactive engagements with SMEs and businesses’ perception of MSBs. 2/4  BIS central bankers' speeches  In short, there are many factors that influence an individual or business decision to use MSB services, beyond cost and access considerations. The combined impact of even simple actions taken to address all factors is significantly amplified. Third, while greater transparency and competition have played a key role in driving down remittance costs, an excessive focus on price competition on the part of MSB companies would be misplaced. Our work under this project, including field studies that were conducted, affirmed that users of remittance services basically want safe, easy and fast, and affordable services. For some customers, safety, speed and convenience are often as, if not more, important than cost, with customers willing to pay a reasonable price for these benefits.

The aims of transparency are to allow better informed decisions in both public and private sectors, to reduce the risk of contagion by allowing markets to differentiate among borrowers and to encourage macroeconomic policy to become more predictable. Transparency is not simply a question of making available certain data. It is an approach to economic policy, almost a way of life. The G22 Report of the Working Group on Transparency and Accountability (which I was privileged to co-chair with Andrew Sheng of the Hong Kong Monetary Authority) was published in October 1998. Its recommendations were endorsed in full by the G7. It stressed the importance of transparency in three different sectors: national governments, the private sector and the international financial institutions. Good progress has been made in implementing many of its recommendations. Rather than give an exhaustive account of progress in transparency, let me give a few examples. In March of this year, the IMF’s Special Data Dissemination Standard was strengthened by the inclusion of a template covering the disclosure of net foreign exchange reserves and short-term foreign currency liabilities of central government. These data are required to be published monthly with a lag of no more than one month, and the transitional period for observing the standard runs to the end of March 2000. Agreement is very close on a Code of Monetary Policy Transparency to match the earlier Code on Fiscal Policy Transparency. BIS data on international banking statistics will be produced quarterly from next spring and the lag in publication shortened.