transparency. the most challenging area though was agreeing on the guidance that should be provided with regards to the specific topic of trading activity in the last look window. what is clear to me is that there is – at the very least – the potential for misuse of this specific feature, as various ongoing misconduct cases bear testament to. the code already provides guidance that is designed to minimise the risks of that misconduct occurring. the underlying debate, which our consultative process seeks to resolve, is whether there are ways of reducing those risks even further. if we can identify specific, legitimate, uses of this type of trading activity, as well as the already well - known illegitimate uses, we can then cater for both within the code. but if the evidence suggests that trading in the last look window is simply inconsistent with good conduct, this section of the code will need to be updated accordingly. it ’ s impossible for me at this stage to presuppose the outcome. what i want to emphasise is the gfxc ’ s commitment to acting on the evidence we receive. we are fully aware that the committee ’ s eventual conclusion has the potential impact on some firms ’ current business models, and that is why we are committed to establishing the broadest possible evidence base on which to take our decision. there are nine days remaining before the feedback window closes, and i encourage all of you – both price makers and takers – to provide us with your views. while the last look debate is the current centre of attention it is important to recognise that over time the committee will need to update other areas of the code. in some cases these might amount to tweaks to avoid unintended consequences ; in other cases they will be in response to further evolution in the market itself. and although crystal ball gazing is always a perilous exercise, if you take the agenda for this conference as a guide, then one area likely to remain in focus in coming years is transparency. http : / / www. globalfxc. org / consultative _ process. htm all speeches are available online at www. bankofengland. co. uk / speeches on the one hand the demand for market data will only continue to rise – for example, as end users demand transaction cost analysis tools and analytics to measure the quality of their execution and to predict the optimal time to execute trades. but on the other hand, growing market complexity and greater internalisation of flows tend naturally to reduce the ease with which

economy develops is determined more by how its government and people act, than by its physical endowment. in this context, i think three factors are essential for the progress of the nepalese economy. first of all, it is vital that there should be a firm will for economic development and the resolution to carry it out. the nobel laureate arthur lewis pointed to “ the will to economize ” as the most important motivation for economic growth. no matter how great a country ’ s natural resources, no matter how wide its markets, without a strong will to develop and back - breaking efforts, economic development remains a distant prospect. through the nationwide saemaeul movement, or “ new village ” movement, korean people strengthened their resolution for a better life and their self - confidence through a ‘ can - do - spirit ’. everyone worked hard. preparing for the future, they became accustomed to habits of thrift and saving, and were able to accumulate capital. nepal, like korea in the early stage of development, suffers from a lack of capital. however, where the government and people share a firm will for development and a spirit of self - sacrifice in enduring today ’ s hardship for tomorrow ’ s prosperity, there is already a store of mental capital that compensates for the lack of physical capital. secondly, nepal should make good use of the given economic environment and, especially, maximize the benefits flowing from the progress in the openness of the world economy. thanks to the tidal wave of openness, huge amounts of capital now move across borders and multinational enterprises are transferring production facilities to more advantageous regions. this means that if investment conditions are suitable, there should not be too much difficulty in raising the needed capital. accordingly, i think it is reasonable for nepal to adopt a development strategy similar to that of korea in the past. this involves importing capital and technology from abroad while utilizing the relatively cheap and abundant human resources to the utmost. for this, nepal should improve the institutional infrastructure and conditions steadily so as to attract greater capital inflow from foreign financial institutions and more foreign direct investments. in addition, in order to overcome the weakness of its narrow market, nepal should constantly expand its foreign trade. lastly, i think that the roles of the government and the central bank are also important. one of the factors impeding economic development in underdeveloped countries is the weakness of the market mechanism. therefore, in the early stage of development, it is important for the government to allocate