fundamental for the efficient use of capital and sustained growth. progress in corporate governance, enhancement of the legal and supervisory frameworks that support the banking sector, and the fight against money laundering, are also crucial. * * * in conclusion, let me make three remarks : § first, you might remember that two months ago there still were a lot of opinions and articles forecasting enormous difficulties associated with the euro changeover. these catastrophic predictions proved wrong again. the euro notes and coins changeover has not only been a great technical success, but it has also been accompanied and illuminated by genuine popular enthusiasm. in my view this is a very important and positive phenomenon which has to be reflected upon thoroughly all over europe, including in the uk. § second, the assessment produced by some economists on the international economy is today as bleak as it was buoyant yesterday, both postures being equally excessive. let us try to remain serious, lucid, serene and balanced in our analysis, in our judgements, in our decisions. let us all beware of the herd instinct which is always a very bad counsellor. let us beware of fashion. as regards the present situation, we must remain prudent and cautious, but we have some signs indicating a bottoming out in the us and in europe, including in my own country. and i see absolutely no reason why the european economy pick up would not be as early as in the us, taking account of the strong european fundamentals. § third, confidence is of the essence in the present situation. confidence in our currency, confidence in its capacity to be a good store of value, confidence in its medium and long - term solidity, confidence in the capacity of the european central bank and the eurosystem as a whole to deliver price stability. this confidence – which is warranted by the central bank – is a very precious asset for the europeans. it is a very important ingredient for fostering growth through consumer confidence and therefore consumer demand which is presently the main driving force behind the european economy. i thank you for your attention.

caleb m fundanga : access to finance – corporate governance and sustainability opening remarks by dr caleb m fundanga, governor of the bank of zambia, at the official opening of the microfinance and small to medium enterprises conference on “ access to finance : corporate governance and sustainability ”, lusaka, 17 june 2008. * * * • honourable felix mutati, mp – minister of commerce, trade and industry ; • mr michael mundashi – non - executive director standard chartered bank ; • mrs mizinga melu – managing director standard chartered bank • mr prashant thakker – global head of microfinance institutions of standard charteredbank • distinguished guests, ladies and gentlemen i am honoured to have this opportunity to make keynote remarks at this conference on microfinance institutions and small to medium enterprises organised by standard chartered bank, whose theme is “ access to finance : corporate governance and sustainability ”. i wish to extend a warm welcome to all participants, particularly those that have travelled from outside the country. i hope that you will find time to see some of the tourist spots of lusaka and experience the warm hospitality that zambia has to offer. distinguished guests, following the liberalisation of the zambian economy in the early 1990 ’ s, the number of small - and medium - scale enterprises ( smes ) has increased significantly as the government divested from running business in the economy to pave way for increased participation of the private sector. for instance, in the mining sector, the supply of goods and services has been taken up by private companies including those that can be classified as smes. similarly, the transport sector, which was dominated by government through the united bus company of zambia ( ubz ), zambia railways and zambia airways, etc, is now largely run by the private sector, consisting mostly of small and medium entrepreneurs. one can go on to mention the tourism, manufacturing, real estate, construction and others. this development is of great benefit to the economy in general and individual entrepreneurs in particular. therefore, small - and medium - scale enterprises have the potential to make a significant contribution to the growth of the economy, thereby improving the economic welfare of the population. as you may know, smes in zambia often have a direct impact on community development. since they are usually based in places where the owners live, they draw upon the community for their workforce and rely on it to do business. they provide employment, particularly for low - skilled workers, as well as women and the