templates standardise reporting of rmbs data across australian issuers who seek repo - eligibility of their issues. they will help the bank to more precisely value the securities held on its balance sheet in terms of both price and risk. they will also decrease the bank ’ s reliance on credit rating agencies in assessing the securities. as well as applying to those securities issued in the market, these requirements will also apply to self - securitised rmbs. but just as importantly, these data will also be of benefit to the broader market by providing more transparency to australian rmbs. the reserve bank will also require that issuers make these reporting templates available to the public, free of charge. issuers will have to inform the reserve bank of where their data are being stored and being made available to the public. it will also be a requirement that issuers ensure that these data are accurate. the proposed reporting templates we ’ ve put out today are open for comment until end - december. again though, i would note that we have worked with the asf in putting these information templates together. having taken account of any comments, we will provide final reporting templates early next year. once that has been done, issuers will have a transition period in which to provide the information. at the end of that period, if the information is not available, the security will no longer be repo - eligible. rmbs issues that do not meet the reporting requirements during the transition period will remain repo eligible. i encourage issuers to use this transition period to develop the reporting systems and the data handling infrastructure needed to comply with the new requirements. this will not involve reporting of data on any individual borrowers, thereby mitigating privacy concerns. bis central bankers ’ speeches furthermore in 2013, the bank will also make available for comment reporting templates for other abs, such as securities backed by auto loans or credit card receivables, asset - backed commercial paper ( abcp ) and commercial backed securities ( cmbs ). in terms of managing public availability of the data, the bank is placing no specific requirements on where issuers must make these data available, and this is one area of the new requirements on which the bank is keen to receive industry feedback. conclusion in conclusion, the securitisation market is continuing its gradual recovery. but there is scope for it to recover further yet. one avenue that may facilitate further growth is the availability of more information, and more standard

perceived risk. indeed, by this measure, canada is viewed as among the safest of havens ( chart 28 ). this privileged global access to capital is a critical advantage. we need to use it wisely to invest in productive capital and research and development ( r & d ) rather than in houses. there is a large empirical literature that finds two of the best predictors of productivity growth are investment in machinery and equipment ( m & e ), particularly information and communication technology ( ict ), and investment in r & d. canada is lagging in both. between 1987 and 2010, canadian investment per worker in m & e and ict averaged 74 per cent and 57 per cent, respectively, of that invested in the united states. by 2010, on average, canadian workers had only about half as much m & e and ict capital stock to work with as their u. s. counterparts. while public support for r & d in canada is strong, business investment in r & d is below the oecd average and half the rate in the united states. investment in canada in recent years has been solid, but not spectacular. despite record - low interest rates, historically low corporate leverage and a strong canadian dollar, the recovery in investment remains below the average cycle ( chart 29 ). we need to invest more in m & e, and we need to get more out of these investments with greater spending on organizational capital and process improvement. to regear, we must do better than solid. abundant commodities abundant commodities have long played a critical role in our economic development but dramatic changes underway in the structure of the global economy have made commodities an even greater advantage. while commodity prices have fallen 19 per cent since their peak in april of last year, they remain about 20 per cent above their longer - term averages in real terms ( chart 30 ). in fact, real prices for energy and metals have been well above their long - term averages for more than eight years and real food prices are now at their highest level in 36 years. while commodity prices will continue to be volatile, this trend strength can be expected to persist. underpinning this commodity super cycle is a sustained increase in demand from rapidly growing emerging markets, particularly china and india. together, they account for most of the increase in global demand for commodities in the last five years. for example, increases in chinese demand have played an important role in the rise of oil prices seen since 2002 ( chart 31 ). with convergence to western levels