privilege of chairing, with the aim of guiding final decisions on the choice of alternative reference rates and the operationalisation of proposed reforms. the mpg has recently established work streams for the purpose of executing 2 see https : / / www. theice. com / iba / bank - yield - index - test - rates 3 see http : / / www. resbank. co. za / publications / detail - item - view / pages / publications. aspx? sarbweb = 3b6aa07d - 92ab - 441f - b7bfbb7dfb1bedb4 & sarblist = 21b5222e - 7125 - 4e55 - bb65 - 56fd3333371e & sarbitem = 8722 4 for further information, see http : / / www. resbank. co. za / markets / mpg / pages / default. aspx page 6 of 9 its mandate. these work streams will also advise on transition and other implementation issues. allow me to take this opportunity to thank those of you who have provided comments on our consultation paper. we plan to publish a report on 24 may 2019 reflecting key takeaways from the public consultation process, together with our responses and adopted positions in respect of the reforms. the sarb is as resolute as other international regulators and policymakers about the need for reform. all final decisions regarding the reform project will be published in a technical paper later in 2019, which will detail the benchmark interest rates to be published in the future. given the identified shortcomings of jibar, it is our expectation that the reform of jibar will be prioritised by the mpg and its work streams. the interim reform measure that will ultimately be decided on shall become effective from a future date that will recognise all data collection and transitioning considerations. another collaborative effort – this time between national treasury ( nt ), the financial sector conduct authority ( fsca ) and the sarb – was establishing the financial markets review committee ( fmrc ) to develop recommendations aimed at reinforcing conduct standards in wholesale financial markets. the earlier review by the foreign exchange review committee had recognised room for improvement in conduct and governance related to the over - the - counter fixed income, currency, commodities and derivatives markets. in september 2018, the fmrc released a draft financial markets review5 for public comment. you will be relieved to hear that i do not

remarks by daniel mminele, deputy governor of the south african reserve bank, at the annual financial markets department cocktail function johannesburg 7 may 2019 introduction good evening, ladies and gentlemen. it is that time of the year when we have the pleasure of welcoming you to the financial markets department ’ s ( fmd ) annual cocktail function. thank you for joining us. when we agreed the date for this function, we did not know that we would be meeting on the eve of a rather crucial day for our country. allow me to remind you that voting is an important responsibility of citizenship. this event allows the south african reserve bank ( sarb ), and specifically fmd, to convey our appreciation for the working relationships we have developed with you, our counterparties – whether it be through the execution of open market operations or by engaging with you on the ever - increasing complexities of financial markets through our regular meetings or access to your research. these engagements make an important contribution to enriching our understanding of financial market developments in support of the formulation and implementation of monetary policy and financial stability policy. we also value that we get to network a little less formally at this event than at our various official forums. allow me to take stock of what has again been a rather eventful year in international and domestic financial markets since we last met for the annual cocktail function. and, as it has now become tradition, i will also provide an update on some of fmd ’ s key initiatives, especially those that relate to financial market development and thus have page 1 of 9 a direct bearing on your work. i will try to be brief, and heed the words of josh billings : “ there ’ s a great power in words, if you don ’ t hitch too many of them together. ” the global financial markets backdrop the past year has been characterised by a mixed environment for asset prices. the significant shifts that we have observed were mainly influenced by both the adopted and expected policy stances of major central banks. initially, growing divergence between the us economy and major trading partners, coupled with increasing trade tensions and perceived higher geo - political risk, placed upward pressure on the us dollar ( usd ). the usd had also found support from the us federal reserve ( fed ) continuing with its gradual path of monetary policy normalisation, while other major central banks lagged behind by keeping policy rates constant. us equities also outperformed their european and japanese counterparts. these developments resulted in emerging markets with relatively weak