. still in the context of its programme of corporate social responsibility, the bank sponsored the national inter club youth championship for the fourth consecutive year in mauritius and for the second time in rodrigues. tenders were launched for the construction, on a d & b basis, of the bank ’ s regional office at rodrigues. we pursued our policy to enhance the professional competence of our staff to respond to the new exigencies facing central banks. human resource development continued to be one of our top priorities. training was mainly in the fields of bank supervision and macroeconomic modelling. bis central bankers ’ speeches looking ahead our monetary policy framework has achieved commendable credibility in a short period and has even been held up as a model for similar countries by the imf. but after four years of operation, our mpc was ripe for a review. sir alan budd, a well - known figure in the world of finance in the uk and a founder - member of the monetary policy committee of the bank of england, conducted an in - depth review of the mpc. one of the areas he was specifically asked to look into was how to enhance transparency and communication. sir alan budd ’ s recommendations took on board our proposals to publish both the minutes of meetings and the pattern of individual votes. the recommendations will take effect as from the next mpc meeting ( december 2011 ). so we will be looking at a still more transparent mpc, which will without doubt enhance its credibility. we also have plans in the year ahead to deepen our financial market through the listing of government securities on the stock market and conducting single - maturity auctions. by the time this report would be in the public domain, we would be holding the online auctioning of government paper. the global financial crisis has highlighted the issue of systemically important financial institutions. in our case, the concern is the high degree of concentration in the banking sector, which i have raised in recent public addresses. in view of the likely implications on financial stability, the bank intends to deal with this issue in collaboration with the banking industry. our country has garnered considerable praise internationally for what we have achieved so far. we continued with top rankings in leading league tables such as the index of economic freedom, the corruption index of the mo ibrahim foundation, the world bank ’ s ease of doing business index, the global competitiveness report etc. but, as investment advisers are supposed to warn their customers, past performance is no guarantee of future results. the heightened

in the five years to 2014. vietnam and cambodia are examples of countries that have become more plugged into the global markets as a result of becoming part of this new regional value chain. bis central bankers ’ speeches • vietnam has emerged as a key assembly hub for electronic and electrical products. • cambodia has become a manufacturing base for chinese garment and footwear companies, with three - quarters of its garment and footwear exports in 2014 headed for europe and the united states. future of rmb internationalisation china has embarked on the formidable task of liberalising the capital account at a time when domestic growth is slowing, its financial system is still maturing, and us monetary policy is normalising. the process has therefore entailed careful calibration and periodic reassessment – crossing the river by feeling the stones. since 2010, the offshore rmb market has experienced remarkable growth, driven by strong investor appetite and cross - border trade. in the near term, however, the trajectory of rmb internationalisation is likely to moderate, due to a confluence of factors. first, global trade, which is a key factor driving the overseas use of the rmb, has declined. • merchandise trade flows between china and its trading partners are expected to be modest in the next year or so, reflecting cyclical headwinds. second, market expectations of china ’ s gdp growth affect expectations of the rmb ’ s appreciation or depreciation. • as the chinese authorities forge ahead with fostering a more market - based rmb exchange rate, greater two - way volatility can be expected, compared to what appears to have been a one - way trend appreciation in the past. • this could have a bearing on investors ’ expected returns on rmb deposits and financial assets, and therefore their demand for offshore rmb. third, the liberalisation of china ’ s capital account is likely to proceed cautiously in the near term. • policymakers will be more cautious in the short - term as they work to ensure that the market volatility and ensuing capital outflows in late 2015 and early 2016 do not have a lasting impact on market confidence. but i believe the chinese authorities remain committed to liberalising the capital account and promoting the international use of its currency in the medium term. • the latest 13th five - year plan, announced in march this year, has made clear the aim to reduce foreign exchange restrictions for both corporates and households and encourage the use of the rmb in cross - border