without smokestacks ” such as agro - processing, ict, transport and tourism, which can absorb the youths seeking jobs. government must focus on boosting export - oriented manufacturing and growth of the tradable services. this will help to meet the rapidly growing urban demand for food thereby linking urban and rural growth by creating market for rural production, and even reducing the import bill. such demand - driven agricultural development would foster innovation and advancement in production, processing, and packaging, across all the stages of the page 6 of 8 chain in catering to the demands of urban consumers of processed products including packaged foods. government needs to join hands with finance and all sectors by facilitating urban - rural linkages, to embed local firms within the supply chains of international retailers, such as the international supermarkets in our cities and towns, and promote export readiness of local firms if we are to be the bread basket of the region. potential areas of further investment for government and the financial sector include roads, cold storage, transport, support for farmer organisations, agricultural extension, and out grower schemes. it is also necessary to address information asymmetries, for example, by matchmaking international firms and local suppliers. only through boosting agricultural development through inclusive rural - urban links will we effectively harness the agriculture sector as a dominant source of employment. i applaud the uba for rising to this challenge and call upon government to join the bankers in the modernization of agriculture for job - creation and inclusive economic growth. page 7 of 8 on our part, the bank of uganda will continue to work with government and commercial banks in promoting affordable agricultural finance through the agricultural credit facility, which we encourage all eligible borrowers to take advantage of. i thank you all for listening to me. page 8 of 8

##ncies. of course, if the proceeds are to be used on the mainland, the moving of funds into mainland china will have to meet the requirements there. by the same token, banks can now also offer rmb financing to their clients, including enterprises which conduct direct investments under the pilot scheme for the settlement of odi in rmb introduced in january this year. as the pool of offshore rmb funds in hong kong continues to grow, there will be huge opportunities for financial institutions to take part in rmb financing as well as in the origination, distribution, investment and trading of rmb bonds. the second dimension is rmb trade settlement. the rmb trade settlement pilot scheme was introduced in july 2009. the initial scope of the scheme was rather limited. but in less than a year, the pilot scheme was expanded to cover enterprises in 20 provinces and cities on the mainland and their trade transactions with any parts of the world can now be settled in rmb. the expanded scope has led to a rapid growth in the transaction volume of rmb trade settlement in hong kong, which was increased from a monthly average of 4. 5 billion yuan in the first half of 2010, to more than 87 billion yuan in the fourth quarter, representing an almost twenty - fold increase during the period. to date, hong kong accounts for about 75 % of mainland ’ s rmb trade settlement. this clearly demonstrates the strong preference of market players for making use of hong kong ’ s platform for rmb trade settlement. the highly efficient and reliable rmb real time gross settlement ( rtgs ) system in hong kong has played a significant role here. we are the first and so far the only place outside mainland china that has developed a full - fledged rmb rtgs system, enabling us to handle the settlement of cross - border trade between the mainland and other economies in a safe and efficient manner. china is one of the biggest trading nations in the world. the potential for further increases in rmb trade settlement is considerable given that the current volume only accounts for a small fraction of total trade between china and the rest of the world. rmb trade settlement proceeds will represent an important and sustainable source of growth in offshore rmb funds in hong kong. the third dimension is rmb wealth management business. the rmb wealth management business in hong kong took off last year after the rmb clearing agreement was revised in july 2010. the rmb clearing agreement lays down the framework for rmb business in hong kong. i will