njuguna ndung ’ u : survey on bank charges and lending rates in kenya speaking notes of prof njuguna ndung ’ u, governor of the central bank of kenya, at the launch of the survey on bank charges and lending rates, nairobi, 28 august 2007. * * * mrs. jacinta mwatela, deputy governor of the central bank of kenya ; mr. richard etemesi, chairman of the kenya bankers association ; ms. caroline pulver, representative of the financial sector deepening trust ; representatives of the kenya bankers association ; distinguished guests ; colleagues ; ladies and gentlemen : i would like to start by first thanking all of you for accepting our invitation to attend the launch of this survey on bank charges and lending rates. allow me at this early juncture to extend a special vote of thanks to the financial sector deepening ( fsd ) trust, kenya for partnering with us on this key initiative. i would also like to acknowledge the efforts of research international, tell - em ltd. and the central bank team that worked on this project. we all appreciate that bank charges and lending rates continue to be of great public concern in our country. the issue at times seems to take an emotive stance with the public being “ pitted ” against the banks. at the central bank, we believe that this should not be the case and what we prefer to see is a healthy informed debate around this issue. it is with this in mind that the central bank has been at the forefront in measures aimed at enhancing market discipline through publication of charges and lending rates in the print media and the survey that we are launching today. i must underscore that the aim of this launch is not to “ name ” any bank as the cheapest or “ shame ” another as the most expensive. allow me to delve into the heart of the findings of the survey that are instructive in informing the way forward. first, the level of awareness of charges and lending rates amongst bank customers is generally low. second, related to this, the survey also established that the level of ” comparison shopping ” for banking services and products is also low. this alludes to an information asymmetry problem. information is indeed critical to the effective functioning of markets. it is not in doubt that when information on alternatives is readily available, the outcomes will be customer driven products and competitive price offerings. it therefore behoves the central bank and the players in the market to address this information

toshihiko fukui : semiannual report on currency and monetary control statement by mr toshihiko fukui, governor of the bank of japan, before the committee on financial affairs, house of councillors, tokyo, 21 february 2006. * * * introduction the bank of japan submitted its semiannual report on currency and monetary control for the first half of fiscal 2005 to the diet in december 2005. i am pleased to have this opportunity to present an overall review of the bank's conduct of monetary policy. i. developments in japan's economy the growth of japan's economy slowed temporarily from the second half of 2004 to the summer of 2005. thereafter, it emerged from this pause and has continued to recover steadily. exports and industrial production have continued to increase. business fixed investment has continued to increase against the background of high corporate profits. in the household sector, household income has been rising moderately, as the number of employees has been increasing and wages have picked up. with this improvement in the employment and income situation, private consumption has been steady. looking forward, exports are expected to continue rising against the background of the expansion of overseas economies. domestic private demand is likely to continue increasing reflecting high corporate profits and the moderate rise in household income, while structural adjustment pressure, such as the excess debt of firms, has almost dissipated. given that an environment in which a virtuous cycle can start operating has been established with the recovery both in domestic and external demand and in the corporate and the household sectors, the economy is likely to experience a relatively long period of growth, albeit at a moderate pace. nevertheless, risk factors such as the continuing surge in crude oil prices and its possible effect on overseas economies should continue to be monitored closely. on the price front, the environment influencing prices has been improving. the output gap has been narrowing moderately, as the economy continues to recover at a pace above its potential. the decline in unit labor costs has been slowing with the increases in wages, despite continued downward pressure from the rise in productivity. various survey results show that firms'and households'expectations regarding prices are gradually being revised upward. as for price indexes, domestic corporate goods prices registered the largest increase on a year - onyear basis since march 1990, mainly reflecting the rise in international commodity prices and the depreciation of the yen in the second half of 2005, and are expected to continue increasing. the yearon - year rate of change in consumer prices ( excluding fresh food,