gentlemen central banks and financial supervisory authorities face a difficult balancing act. on the one hand, in view of the objective of safeguarding stability, the institutional and regulatory framework has to be tightened and harmonised internationally. on the other, the new rules must not overburden market participants, and the effects of regulation, including its impact on competition, must be evaluated from a macro perspective. however, the supervisory rules can only set the framework in which financial transactions take place. market participants themselves must do their part to strengthen the financial system – by improving risk management, for example. i would propose that we central bankers and financial supervisors work through our agenda item by item and you, as representatives of large institutional investors, work through the tasks that you have to address. since we drive on the same roads, so to speak, i look forward to continuing this dialogue with you. a good dialogue is the best way of avoiding any more collisions in future. bis central bankers ’ speeches

over the years, the bank has been producing and disseminating more detailed financial accounts. we are in discussions with our external auditors to see how much more transparent we can be in publishing the accounts, while at the same time not compromising the requirements of international financial reporting standards. communication is not just about our interaction with markets. we have deemed it appropriate to communicate with different stakeholder groups in the broader civil society through our financial literacy programme. we regularly meet business associations from different sectors of the economy. we find it useful not only to express our own views but also to hear the views of 1 / 6 bis central bankers'speeches market participants. it is important for us to know what the thinking about the bank and our policies are. although we may not be always successful in changing perceptions and misconceptions about the bank and its policy, we have found that these interactions and initiatives have helped to create a greater appreciation of the challenges we face. a more candid relationship between the bank and the media will accompany us in our mission. it does not mean that the media should be our porte - parole nor report uncritically on our actions. this has more value to the central bank than an uncritical media. media is perceived as a source of objective and independent information and analysis and whatever is reported in the local press has an international coverage, which could affect the credibility and image of the jurisdiction. even my predecessors have reiterated on this point in their previous addresses. let me reassure you that we operate within the parameters of the bank of mauritius act and assume our duties and responsibilities independently. the act grants the bank operational independence to implement its policies. section 12 of the act states that “ the board of directors … in the exercise of their functions, shall not be subject to the direction or control of any other person or authority ”. i take this opportunity to thank all my board members for having displayed an independence of thoughts and for their guidance and support. further, section 55 ( 3 ) stipulates that “ in the discharge of its functions, the monetary policy committee shall not be subject to the direction or control of any other person or authority ”. again, let me commend the impartiality of the members in their assessments and for voting independently on interest rate decisions. the mpc minutes are so transparent that they reflect the voting pattern of each individual member. we are also mandated to manage the official foreign exchange reserves of mauritius in the manner specified in the act