vision to become a developed economy. this design thinking for the industry necessitates the banking sector to further enhance its dynamism in the face of competition for innovation and quality in the offering of financial products and services. it also demands greater agility, astuteness and foresight on our part to go beyond and able to ride on the next wave of growth – either at the higher end of the spectrum of financial services that focus on sophisticated and high value added activities or the lower end that cater for the traditionally underserved, as well as opportunity to fully realise the benefits from the greater regional and international integration. at the same time, a myriad of challenges including global regulatory reform, transformational technology and changing generational expectations will continue to drive change in the years to come. this would also mean that financial institutions will need to meet higher standards of how they manage risks and govern their operations. against this background, the professionalism, productivity and capability of our talents become more important now than ever before. future success will hinge on our ability to constantly remould the workforce in the banking industry for a new marketplace, with emphasis on a corresponding increase in the levels of knowledge, skills, competencies and bis central bankers ’ speeches overall quality of our talents. we clearly have an urgent and important task ahead of us. the critical questions therefore need to be asked here – have we done enough to sustain the competitiveness of our workforce to meet the current and future industry needs and what more can be done to propel the industry to new heights? with these questions in mind, allow me to now share two strategies in the context of human capital development that, to my mind, are key catalysts toward a new era of development of the banking sector, as well as the broader financial services industry, with a particular focus on our aspiration with regard to the role of abs towards the attainment of these strategies. first, is the strategic imperative toward professionalising the banking profession to create a banking workforce committed to highest standards of professional conduct, knowledge and competence. our motivation in pursuing this imperative is many - pronged – firstly, the move to professionalize the industry, to be achieved via the development of professional qualifications and specialised certification track, that can play a vital role in ensuring that the banking workforce consistently achieves high levels of capability through continuing professional development ( cpd ) and learning. secondly, by adhering to professional standards, professional conduct and cpd requirements of professional bodies, a

and by 2012 they had increased to 107 per cent and 89 per cent. the speed with which countries ran into fiscal constraints and the need to rein in these deficits focused increasing attention on monetary policy to provide a stimulus to growth and employment. second, monetary policy has still got some traction when it is at the zero bound, as seen in the unprecedented quantitative easing in a number of the advanced economies. but it is clear that these interventions are more of a holding operation, and we still do not know what, if any, the unintended consequences of these policies will be. in particular it is uncertain what the impact will be when this liquidity is withdrawn. there are increasing concerns about the bis central bankers ’ speeches risks that this could pose, especially if such withdrawal is disorderly, as well as about the ability of the monetary authorities to fine - tune these exit strategies. third, and perhaps most significantly, the crisis taught us the importance of focusing on financial stability, as an overly narrow focus on price stability can lead to imbalances in the financial sector, with potentially disastrous consequences. this is where much of the debate around macroeconomic policy currently revolves, and is creating challenges for central banks generally. the crisis focused attention on two particular issues : firstly the role of monetary policy with respect to output stabilisation or economic growth, and the second on the objective of financial stability. for some time it has been widely accepted that the core objective of monetary policy is price stability. during the 1990s inflation targeting was increasingly accepted as the preferred monetary policy framework, and during the 2000s, in the lead up to the crisis, the world experienced what became known as the great moderation, with inflation seeming to have been tamed in almost all countries. the continuing accommodative monetary policy stance in many countries has raised the question of whether growth is now a new objective for monetary policy with a retreat from the price stability objective. there are countries such as the united states where monetary policy has an explicit dual mandate. but in a flexible inflation targeting framework a concern about output growth is in reality an implicit target of monetary policy. in effect, monetary policy places some weight on the output objective in addition to the primary price stability objective, but these relative weights may differ over time depending on circumstances. in situations where inflation diverges from the target, the speed with which monetary policy aims to bring inflation back in line with the target is dependent on the concern about what is happening in the real sector of the