to a voluntary code will only come about if firms judge it to be in their interest and take the practical steps to ensure the code is embedded in their practices. such practical steps would include training their staff and putting in appropriate policies and procedures. we have provided a draft statement of commitment for firms to publicly demonstrate their adherence to the code. one reason for a public demonstration is that firms are more likely to adhere to the code if they believe that their peers are doing so too. that is, an important source of pressure to adhere should come from other market participants. to provide visibility around this, there are a number of market - based initiatives to provide public registries where market participants can demonstrate their use of the statement of commitment. more broadly, market participants have a vital interest, and a role to play, in promoting and upholding good practices in the market as a whole. this can be partly achieved through leading by example, but can also be supported by having similar expectations of counterparties and other market participants and helping to raise awareness of the code in their market interactions. in that regard, we have reached out to more than 120 industry associations and key market infrastructure providers globally. ultimately the success of the code in promoting integrity and restoring confidence in the wholesale fx market lies in the hands of its participants. another aspect of market - based adherence comes through the fxcs. 2 fxcs have today issued a joint statement of support for the code. in due course, adherence to the code is likely to become a requirement of fxc membership. that would ensure the code is embedded at the core of the fx market, given the extent of coverage of the fxcs. but it is also important that it extends beyond that, and that there is, at the very least, an awareness of it across all market participants. a second dimension of adherence is that the bis central banks have signalled their commitment by announcing that they themselves will follow the code, and that they expect that their counterparties will do so too. 3 given that we are only providing the full text of the code to the market today, there will be a period of time for market participants to adjust their practices where necessary to be in line with the principles in the code. i would not expect much time should be required to do this. this period of time might potentially be as short as six months, but no more than twelve months for the vast majority of market participants. how much effort this might require will in part depend on the nature and

the need to restore the public's faith in the foreign exchange market and the value of the global code in assisting that process and also in helping improve market functioning and confidence in the market. 1 see www. bis. org / mktc / fxwg / gc _ may16. pdf. 2 see www. bis. org / press / p150511. htm. 3 see www. bis. org / mktc / fxwg / am _ may16. pdf. see also c salmon ( 2016 ), ‘ rebuilding trust through the “ fx global code ” : reasons for optimism ’, available at www. bankofengland. co. uk / publications / documents / speeches / 2016 / speech924. pdf, speech given at the aci uk square mile debate, london, 7 september ; and s potter ( 2016 ), ‘ the role of best practices in supporting market integrity and effectiveness ’, available at www. newyorkfed. org / newsevents / speeches / 2016 / pot160907, remarks at the 2016 primary dealers meeting, federal reserve bank of new york, new york city, 7 september. 4 see afxc. rba. gov. au / news / afxc - 26052016. html. 5 see www. bis. org / press / p160526a. htm. 3 / 3 bis central bankers'speeches