, a critical assessment of the validity of the initial assumptions should be made and appropriate re - allocations of resources scheduled for the new plan. communications. we advise the board and senior management to foster communication with the internal auditors so that they are aware of pertinent issues and the board is aware of all significant matters. just as the auditor should have regular communications with the audit committee, the auditor should have senior - enough stature within the organization to be aware of significant initiatives and be able to influence management as needed to adopt appropriate control processes. the policy statement advises banking organizations that the auditor independence rules of the securities and exchange commission apply to institutions covered by fdicia 112. as a result, internal audit outsourcing to the external auditor is prohibited for such institutions. nonpublic, non - fdicia 112 institutions are encouraged to adhere to this prohibition. sarbanes - oxley act now let ’ s turn to sarbanes - oxley. at its core, the sarbanes - oxley act is a call to get back to the basics that we have been discussing. since you have other speakers on the program who are planning to provide you with an update on the status of rulemakings currently under way, i won ’ t cover the act ’ s provisions in any detail. however, as i ’ m sure you know, the iia research foundation published a sarbanes - oxley status report just last month. the summary was entitled assessment guide for u. s. legislative, regulatory, and listing exchanges : requirements affecting internal auditing. as i recall, the guide compares the key requirements of the • sarbanes - oxley act of 2002, • proposed and final securities and exchange commission rules and interpretations related to the act, and • regulations proposed by the listing exchanges and associations. although the guide identifies 58 separate provisions that affect internal auditing, i think it is also important to stress the fundamental underlying sentiment of the act. simply stated, the current status quo for corporate governance is unacceptable and must change. this message is applicable to both public and private companies alike and affects everyone within a company. • the message for boards of directors is : uphold your responsibility for ensuring the effectiveness of the company ’ s overall governance process. • the message for audit committees is : uphold your responsibility for ensuring that the company ’ s internal and external audit processes are rigorous and effective. • the message for ceos, cfos, and senior management is : uphold

amando m tetangco, jr : the vital role of statistics in national development keynote address by mr amando m tetangco, jr, governor of the central bank of the philippines ( bangko sentral ng pilipinas ), at the 15th philippine statistics quiz ( psq ) national finals, central bank of the philippines, manila, 5 december 2006. * * * dr. isidoro p. david, president of the philippine statistical association ; dr. romulo a. virola, secretary - general of the national statistical coordination board ; honorable carmelita n. ericta, administrator of the national statistics office ; our distinguished judges and guests ; regional finalists and their teachers and parents ; fellow workers in the government ; ladies and gentlemen, good afternoon. we, at the bangko sentral ng pilipinas, warmly welcome this opportunity to once again host the philippine statistics quiz national finals. the bsp has always been supportive of these kinds of activities that give due recognition to the vital role of statistics in national development. as the country ’ s central monetary authority and as the supervisor and regulator of the banking system, we formulate policies on the basis of statistical information that we produce, collect and compile, as well as monitor, assess and review. statistics are important not only for the stories they tell but also because they provide the basis for sound, sensible policies going forward. timely, relevant and reliable information provide sound guideposts that enable us to make informed choices and, ultimately, form an educated stand on issues that affect our nation ’ s future. with statistics permeating the different facets of life, the bsp, together with other statistical agencies, is confronted with the challenge of going beyond the production of statistics and moving toward upgrading the level of statistical literacy in the country. it is in this light that we commend the philippine statistics quiz ( psq ) steering committee for its efforts to promote and enhance awareness of the value of statistics in the school environment. this initiative of the psq is laudable as it helps demystify statistics as a science. statistics has long been perceived by many as a complex and even perhaps mysterious field of study. fora, such as this, however, can display how fascinating and practical this subject can be, as students tackle problems that show the interconnection between statistics and the real world. the bsp welcomes every opportunity to help nurture young minds with a view to strengthening the human resource base