consumption on the back of higher real incomes due to the decline in oil prices should help to shore up growth. • overall, growth in emerging asia is likely to stay above 6 % in 2015, not too far below last year ’ s 6. 6 %. looking beyond this adjustment period, the medium - to longer - term outlook for asia continues to be bright. ultimately, economic fundamentals matter the most, and the longerterm drivers of growth in the region remain positive. • first, demographics across much of the region remain favourable, with the proportion of the working age population continuing to rise in most asian economies. • second, the emergence of a sizeable middle class and ongoing urbanisation will underpin a continued expansion in domestic consumption and investment. and asia has the potential to do even better, if it continues to press ahead with deeper regional integration and domestic structural reforms. bis central bankers ’ speeches diversification for enhanced returns the significance of asia ’ s growth and its implications for long - term investment returns are not lost to global asset managers. the increasing interest in the region is also motivated by the need at many pension funds and sovereign funds to achieve more diversified investment portfolios. • these funds are increasingly diversifying their portfolio allocations across geographies and reducing the home bias towards investment in domestic markets. • they are also diversifying across assets to include more non - traditional assets such as real estate, private equity and infrastructure, which promise sustained and attractive risk - adjusted returns. emerging asia offers both asset and geographical diversification. • emerging asia will remain one of the fastest growing regions in the world offering prospects of higher long - term returns, while the depth and liquidity of its asset markets should continue to improve. • the growth dynamics of emerging asian economies is not only different from that of developed europe and america but also differentiated from one another. • emerging asia offers great potential for the development of alternative investment assets such as infrastructure, for which the region has enormous need. i congratulate nps on the opening of its singapore office and wish you continued success in your regional strategy. bis central bankers ’ speeches

stanley fischer : tomorrow ’ s economic agenda address by professor stanley fischer, governor of the bank of israel, to the israel business conference, tel aviv, 10 december 2007. * * * the announcement in the newspapers about the israel business conference bears the slogan “ come and join us, so that you ’ ll be part of tomorrow ’ s economic agenda ”. and that is what i would like to talk about today, “ tomorrow ’ s economic agenda. ” the objective of such an agenda should be rapid and sustained growth, the benefits of which would be enjoyed by the whole population. such growth is critical for the future of the economy, the future of the society, and the future of the country. the reason is simple, and is like the effect of compound interest : if, for example, we manage to grow during the next 25 years at an average rate of 6 percent a year, in the year 2032 israel ’ s gdp will reach nis 2, 830 billion ( at 2007 prices ), compared with about nis 660 billion in 2007. if on the other hand the economy grows at only 3 percent a year over the same period, gdp will reach nis 1, 380 billion. that is a huge difference of more than 100 percent, and proves what my late friend professor herbert stein used to say : “ the difference between 3 percent growth and 6 percent growth is 100 percent. ” if we succeed in traveling along the path of rapid, sustained growth, we will have the means available to deal with the various problems confronting us – in the fields of education, the economy, the social fabric, security, etc. failure to do so will cost the country and society dearly. today i will speak about two important aspects of growth : ( 1 ) the fact that actual economic growth permeates the whole population ; ( 2 ) the need to maintain fiscal discipline. actual economic growth permeates the whole population growth of more than 5 percent a year, which the economy has been enjoying since 2003, significantly improves the standard of living of the whole population. a ) in 2006 the rate of poverty, based on the relative measure that relates mainly to income differentials, stopped rising. moreover, if we use the absolute measure of poverty, i. e., the ability to purchase a basket of basic goods, the rate of poverty actually declined in 2005 as well as in 2006. b ) the decline in unemployment since 2003 can be seen at all educational levels, including the lowest.