remarks at the bankers association of trinidad and tobago ( batt ) 20th anniversary event alvin hilaire, governor central bank of trinidad and tobago november 1, 2017 1. a very warm welcome from the central bank of trinidad and tobago to our financial community and to the members of the bankers association of trinidad and tobago in particular on the occasion of batt ’ s 20 th anniversary. a double - decade birthday marks a very special time — just breaking out of the teenage years — and provides a great opportunity for both reflection on the past and looking forward to the future. 2. for many trinbagonians, banks are our first introduction to the financial world. when i was a child ( not too long ago ) it was a serious rite of passage to be escorted by one ’ s parents to the neighborhood bank to open an account and to deposit a few dollars. with no internet, linx or atms, everything was cash, personal visits to the tellers and the little red passbook to keep track of all your precious transactions. nowadays, with technology and electronic communications page 1 of 5 the form of interaction has changed somewhat — becoming a bit more impersonal at times — but the fundamental relations with our bankers remain basically the same. from small cash deposits, to salary deposits, car loans, mortgages, credit cards and investments, our dealings with banks follow us over the years and help to define key stages of our life cycle. 3. banks in trinidad and tobago have a lot to be proud of. through thick and thin they have made important contributions, mobilizing savings and channeling these to individual, private corporate and public sector borrowers. taken together, banks ’ assets currently amount to tt $ 137 billion which is equivalent to 43 per cent of the entire financial system ’ s assets in the country. of course, as any nation we have had our share of bank failures and challenges but we have always weathered the storms. it is inevitable that fresh tests will emerge, especially in a world where we are financially integrated internationally, speed of communication and capital movements can be instantaneous, and domestically we are faced with reengineering an economy away from a long dependence on energy exports. but i have absolutely no doubt that we have the technical capacity, will and energy to survive, adapt and thrive in the decades ahead. now that i have ventured into the perspective of taking the long view, i ’ d like to touch on three related issues for further active consideration of our bankers

gathered here : 4. the first involves further bolstering financial inclusion in trinidad and tobago. our country became the 100th member of the international body, the alliance for financial inclusion ( afi ) in 2013. afi ’ s main role is to strengthen the ability of individuals across the globe — especially low income persons in remote page 2 of 5 areas — to safely and meaningfully participate in organized financial activities. in certain parts of africa, east asia and latin america many communities are effectively cut off from the banking world — most transactions are by barter, or cash, and few persons have or even know what a bank account is. trinidad and tobago is somewhat different — we do have a widespread banking presence due to the country ’ s income level, our relatively small size and our long history with banks. nonetheless, we still need to work more on encouraging, embracing and keeping the participation of several communities in the formal financial sector. in this regard, it is important for banks to pay particular attention to the specific needs of the young, the elderly and the differently abled among others as you roll out your array of services and outfit your facilities. we at the central bank are boosting our national financial literacy program in 2017 / 18 ; we are happy to partner with batt in common areas so that the man in the street has a better understanding of the importance and the options available for savings, investments, budgeting, retirement planning as well as the potential risks in the financial world. 5. a second issue relates to transparency and fairness in dealing with customers. as we develop as a society, financial transactions can tend to become more complex and opaque — sometimes you get the impression that you need to enlist a senior counsel to get you through the fine print of the contract for setting up the most basic savings account! it is therefore imperative that banks and other financial institutions commit to meaningfully simplifying their agreements and making every effort to ensure that their customers understand the terms and conditions. we at the central bank are encouraged by the relaunch of the banking code of practice a few days ago, but like mr. stoddard, the financial services ombudsman, we look forward to the principles of transparency and fairness being page 3 of 5 applied fully in practice. one specific example i would call to mind is the guideline on the mortgage market, jointly developed between the central bank and batt, to cover information disclosure and predictability in the adjustment of interest rates on loans on what for most