fsb. we will indeed be called upon to ensure that mauritius adequately mitigates risks and that it remains a wellregulated and properly supervised jurisdiction. as a small country with a population of nearly 1. 3 million, the limited size of the mauritian domestic market constrains opportunities for banks in the domestic segment. this is what has paved the way for diversification of banks ’ operations by offering cross - border banking services. as at date, cross - border banking assets of our banks account for 60 per cent of total banking sector assets. however, cross - border banking entails risks which are not present in domestic banking. these include differences in legal frameworks and political risks. in that regard, the bank of mauritius is coming up with a guideline on cross border lending risk management. this guideline will set out a minimum set of standards to which banks wishing to enter into cross - border lending will need to adhere. these requirements will vary depending on the structure of those banks and on whether a banking group already has a presence in the foreign country where lending is being effected. the identification and assessment of money laundering risks remain one of the overarching priorities of the bank of mauritius. this is particularly important in view of the far - reaching implications on the correspondent banking field and reputation of the jurisdiction. at the level of 2 / 4 bis central bankers'speeches the bank of mauritius, we have a zero tolerance approach for breach of guidelines, particularly those relating to anti - money laundering and financing of terrorism. mauritius had recently undergone a mutual evaluation exercise under the auspices of the esaamlg. some areas warranting remedial action in the aml / cft regulatory and supervisory framework had been identified. the country has already taken the necessary corrective steps and addressed many of the shortcomings. the legal framework has been enhanced with relevant amendments to the banking act and bank of mauritius act. we are also upgrading our supervisory and regulatory framework. as from september 2018, the bank has a full - fledged unit for monitoring aml / cft risks and conducting on - site examination in institutions. we are also in the process of moving towards a risk - based supervisory approach. a separate module is being developed to capture aml / cft risks. the bank has also signed a tripartite memorandum of understanding with the financial services commission and the financial intelligence unit to enhance, among others, the effectiveness of the implementation of aml / cft measures. once the

we should aim not only at promoting efficiency, but also transparency around operations in the financial system and about participants. in our region, the availability of information on the financial services industry needs to be further broadened, and financial literacy further enhanced. a comprehensive, timely and globally comparative collection and dissemination of information is critical. this will undoubtedly benefit all stakeholders, ranging from industry and markets players to the public at large. 1 / 4 bis central bankers'speeches another element that requires our attention is the proliferation of new investment products. these products are often fairly complex. we must remain vigilant over the operations of non - bank institutions that, in some form, take part in financial intermediation using complex products. this sector may include brokerage firms, investment funds, insurers and other forms of entities. investment opportunities have also expanded far beyond national borders. while this allows individuals to invest in a broad range of assets and currencies, it also opens the doors to mistakes which can be costly both at the micro and the macro level. ladies and gentlemen, knowledge of the financial system constitutes not an option but a must! indeed, when evaluating the stability of the financial industry, we need to have the resources and information needed to assess the degree to which it is capable of resisting shocks, both external and internal. we need to be confident that we have the tools to identify and mitigate the risks that can potentially trigger financial instability. at its last meeting, the fsb identified four main priorities for 2019. these are : how to address new and emerging vulnerabilities in the financial system ; how to finalise and operationalise post - crisis reforms ; how to evaluate the effects of the reforms ; and how to reinforce outreach to stakeholders. all of these are of concern to the economies of our region. this meeting comes at an opportune time as we shall be able to discuss these topics and take stock of the latest developments on the global front. speaking of development, allow me, ladies and gentlemen, to share with you some of the work that the government of mauritius has been doing to shape the future of our country ’ s financial industry. a financial sector blueprint was prepared in 2018. it has identified three strategic pillars as key drivers of the growth of the mauritian ifc : first, cross - border investment ; second, cross - border corporate banking and private banking ; and third, wealth management. all of these fall either directly or indirectly under the work programme of the