Page 14 of 20  Central Bank of Chile September 2019  The Central Bank is developing a new regulatory framework that will allow the real time gross settlement (RTGS) of interbank payments in U.S. dollars, through the incorporation of this currency in the RTGS system managed and operated by the CBC. The financial system’s large-value payments in national currency are currently settled in the RTGS system, where payments are final and irrevocable in accordance with international practices. In contrast, foreign currency payments are settled through correspondent banks, a process that is not exempt from credit, operational, and liquidity risk. The requirements of the new regulatory framework were defined taking into account international experience and risk considerations, after which the draft regulations will be published for public consultation within the next weeks. Dollar settlement at the CBC will improve the competitiveness of local infrastructures and promote the development of the financial market. Moreover, the implementation of this initiative will align local FMIs with international standards, which recommend settlement in RTGS systems due to their contribution to the risk management of participants, the functioning of the economy, and the preservation of financial stability. Page 15 of 20  Central Bank of Chile September 2019  Another initiative that it is currently under development is the incorporation of the Chilean Peso to the Continuous Linked Settlement System (CLS). This financial market infrastructure is currently the international standard for the settlement of cross-currency payments because reduces the risk of settlement, also known as Hersttat Risk, to barely zero.

The table shows the economic outlook as assessed by the Executive Board prior to the interest rate decision 15 days ago. The figures and conclusions are from the Inflation Report that was presented on the same day as the interest rate decision. Norges Bank projects strong growth in private consumption, while real growth in general government consumption will probably decline. This partly reflects high wage growth in the public sector, which swallows up a large share of government budget allocations. Mainland investment is exhibiting sluggish growth, while petroleum investment is expected to be high next year. Mainland GDP growth will pick up through the projection period, averaging 2¼ per cent in 2004. It appears that this year's wage settlement will result in the highest real wage growth in this generation. The results of this year's wage settlement suggest that the social partners considered the labour market to be very tight this spring. Wage growth will remain high for the next two years and contribute to robust growth in household real income. The inflation outlook for the next two years is marked by two opposing forces. High wage and cost inflation will on the one hand sustain high prices for Norwegian produced goods and services. On the other hand, the pass-through from the appreciation of the krone will result in a temporary fall in prices for imported goods. If the krone remains at the level of the past few months, the effect of the appreciation of the krone will be greatest towards the middle of 2003.