of national economic and social reform becoming clear, and with market mechanism, government administrative capacity, macro - policies transparency being improved and more channels reflecting problems in the economy, in coordinating macro - policies our aim is to make the commercial banks pay more attention to macro - policies. we should also enhance the effectiveness of monetary policy through better transparency and stronger credibility of the central bank. b. commercial banks shall pay more attention to various legislations and incorporate state laws, regulations and supervisory requirements to their internal controls, guided by the business philosophy of maximize profits within the legal framework. • most financial risks stem from malpractice ; • legal risks and regime risks are greater than operational risks ; • legal department and auditing department should become two of the most important departments of commercial banks. c. commercial banks shall put more emphasis on national industrial policy and credit policy in conducting industrial analysis, allocating loans, seeking profitable opportunities and avoiding risks. the sustainability of china ’ s economy is restrained by limited supply of primary energy, land and water. in building a well - being society, the government advocates scientific development approach. industrial policies will definitely be oriented to energy - efficiency. commercial banks should keep this in mind while lending in order to avoid future losses. in industrial analysis commercial banks can also consider outside sources, such as credit policy guidance of the central bank and research of consulting firms. ii. the commercial banks shall improve risk pricing ability while implementing differentiating lending policy a. it is essential for macroeconomic adjustment that commercial banks enhance loan - pricing ability and control risks using economic capital in their efforts to improve credit structure. loan pricing requires proper risk identification and measurement that rely heavily on accumulation of historical data. in transitional period, it is a practical choice for commercial banks taken into consideration changes in industrial policy, trends in sectoral development and the advantages and disadvantages of businesses in decisions concerning asset pricing and capital allocation. b. it is crucial to cultivating potential customers and generating profits that the commercial banks to take full advantage of risk pricing and differentiate customers. although mature clients provide banks with stable sources of profit, with the development of the capital market, good businesses obtain financing by tapping corporate bond market and issuing commercial papers in a way to lower their costs. as a result, banks cannot avoid competing for a handful of good customers unless they turn to find potential customers among a sea of small and medium businesses. small - and medium - sized businesses are an important engine for social economic development and provide a crucial source of jobs

to today ’ s event, the new acacia mall is in a very strategic location, as illustrated by the number of banks that have established outlets at this mall. the “ sapphire banking lounge ” at this branch is designed to offer orient bank ’ s customers a first class banking experience. i also have no doubt that orient bank ’ s existing menu of products will appeal to the customers of this branch and that the bank will continue to focus on providing quality services for its customers. the bank of uganda, as uganda ’ s monetary and regulatory authority, remains committed to ensuring price stability and a sound financial system. we shall continue to conduct vigorous financial sector regulation and supervision to ensure that all banks are well capitalised and that they have robust risk management frameworks. bis central bankers ’ speeches with these remarks, i once again commend the shareholders, the board of directors and senior management of orient bank for extending their branch network to bring banking services nearer to the people. it is now my honour and pleasure to declare orient bank ’ s branch acacia mall kampala officially open. thank you for listening. emmanuel tumusiime mutebile ( prof. ) governor, bank of uganda bis central bankers ’ speeches