guy debelle : the global code of conduct for the foreign exchange market remarks by mr guy debelle, assistant governor ( financial markets ) of the reserve bank of australia, to finsia's regulators panel, melbourne, 11 november 2016. * * * today i am going to talk about the global code of conduct for the foreign exchange market, which has been consuming a large part of my sleeping hours for the past 18 months. as i hope most of you know, phase 1 of the code was launched earlier this year in new york. 1 the complete code will be released in london at the end of may 2017. it is pretty easy to find. it is available on the australian foreign exchange committee ( afxc ) website or via the bank for international settlements ( bis ) website. today i will reiterate the motivation for the work we are doing on the code, why you all should be interested in it, and then update you on where we are at with the process and outline the way forward. why is the work going on? as i have stated before, the foreign exchange ( fx ) industry has been suffering from a lack of trust in its functioning. this lack of trust is evident both between participants in the market, and at least as importantly, between the public and the market. the market needs to move toward a more favourable and desirable location, and allow participants to have much greater confidence that the market is functioning appropriately. a well - functioning foreign exchange market is very much in the interest of all market participants. this clearly includes central banks, both in their own role as market participants but also as the exchange rate is an important channel of monetary policy transmission. in a globalised world, the foreign exchange market is one of the most vital parts of the financial plumbing. the code sets out global principles of good practice in the foreign exchange market to provide a common set of guidance to the market, including in areas where there is a degree of uncertainty about what sort of practices are acceptable, and what are not. this should help to restore confidence and promote the effective functioning of the wholesale fx market. the work to develop the code commenced in may last year, when the bis governors commissioned a working group of the markets committee of the bis ( which i chair ) to facilitate the establishment of a single global code of conduct for the wholesale fx market and to come up with mechanisms to promote greater adherence to the code. 2 our working group comprises representatives of the central banks of all the major fx

ranee jayamaha : promoting credit culture and expediting the process of debt recovery speech by dr ranee jayamaha, deputy governor of the central bank of sri lanka, at a workshop on proposed law on restructuring of sick industries and other legal issues at the centre for banking studies, rajagiriya, 1 february 2005. * * * honourable mr k c kamalasabayson, attorney general, mr sumant batra the guest speaker from india, distinguish guests, ladies and gentlemen. i am happy to be associated with this workshop aimed at deliberating on vital issues relating to the proposed law on restructuring of sick industries, and other legal and financial system issues on debt recovery by financial institutions. as you are aware, the two core objectives of the central bank are : to secure economic and price stability and financial system stability with a view to encouraging and promoting the development of productive resources of the country. debt recovery is one of the core elements of financial system stability and it depends on the performance of economic sectors, the industrial sector being one of the important areas. this is why the central bank has been interested in promoting credit culture and expediting the process of debt recovery. in recognition of this, in the year 1990, the central bank was associated in the enactment of a package of fourteen debt recovery related laws. one of these laws has enabled the extension to private commercial banks, the parate execution powers ie a roman dutch law principle to sell movable and immovable property secured to a bank as collateral to recover debt without recourse to courts of law. prior to the enactment of this law, the powers of parate execution were available only to financial institutions established by statutes passed in parliament. i am informed that a bill prepared to amend this law to further widen and strengthen the powers of parate execution granted to financial institutions could not be passed in parliament due to constitutional issues. the right to obtain injunctions against the execution of parate has thwarted the objectives of this law and this has resulted in banks being reluctant to lend to high risk borrowers even against security. with injunctions brought by the defaulters against the rights of exercise of parate execution by banks, the cost of recovery of bad debt has become phenomenal. against this background, banks and financial institutions are reluctant to deal with industries that have become unviable irrespective of the reason that has led to it. consequently, the sick and unviable industries are left alone without any outside financial or