able to draw on the pool of talent in the bank as we launched different initiatives in several directions simultaneously. the very first task - force that i set up completes its mandate today with the launch of the mpc. there are several others still at work on a range of issues such as the strategic review i just mentioned, the celebration of the 40th anniversary of the bank, the move to the new headquarters, the review of our approach to retail forex trading, and one on such a mundane but serious issue as the flooding of the bank ’ s vault. looking down the line, we have on the drawing board our move into islamic banking services which constitute a global business opportunity. we can rapidly roll out a new financial product and service, with some re - engineering of our approach to banking regulation and supervision to make it possible. in the next few weeks, we have a training programme, organised jointly with deutsche bank, for our own staff and also for staff from commercial banks, to pave the way for our move to full conformity with basel ii principles. both regulators and regulatees will be given the same training to ensure they are on the same wavelength. and later this week, a joint bank of mauritius / mauritius bankers ’ association delegation leaves for east asia as we make final preparations to introduce the cheque truncation system. this will reduce paper processing, speed transactions and reduce their cost, and make us all cheque - users a little bit more efficient and productive. as you can see, we have many balls up in the air. our vision is clear. our goal is set. we continue the exciting journey of modernisation with renewed determination. we do not have the luxury of time. this time round, we do not want to wait another 13 years to do what must be done. the future does not belong to the hesitant. we must get on with the job, come what may. to achieve all this, we need resources. we require new blood. and this is the reason why the bank has recently advertised for a range of positions for such openings as bank examiners, research officers and communications manager. the response has been very good, indicating that the bank has a good reputation and enjoys credibility as an employer. allow me to conclude by making two specific observations. first and foremost, let me point out that this first mpc meeting is not an interest - rate - setting meeting. today the mpc will discuss the operational aspects for the conduct of its future meetings, take

policy review committee to ensure a continuous monitoring of the economic situation. we are also proposing that the mpc meet at quarterly intervals. the dates on which the meetings will be held will be communicated to the public well in advance. however, there is provision for the mpc to meet in between should the need arise. the mpc will decide on the key repo rate by voting. all these are tentative at this stage and are subject to revision or confirmation by the mpc when it meets later today. inflationary pressures have built up lately in our economy and the inflation rate is expected to cross the single digit level by june this year. we are experiencing the highest rate of inflation in a decade. it is a cause for concern, but certainly not for alarm as the rate is expected to decline as the pass - through effects of recent price hikes taper off. this of course assumes that we do not compound the problem by inappropriate fiscal and wage policies. eternal vigilance on these fronts is the price we have to pay to combat inflation. in any case, we must remind ourselves that the primary objective of the bank is to maintain price stability and to promote orderly and balanced economic development. thus, in our mandate as given by the act setting us up, price stability is not an end in itself. rather it is a means to an end, which is sustainable macroeconomic growth. we therefore need to weigh real sector issues adequately in our monetary policy decisions. in this respect, the bank intends to institute regular contact with stakeholders of the real sector in addition to those of the financial sector we normally deal with. and i very much welcome the presence among us this morning of employers, trade unions, economic operators, exporters, and their respective associations and chambers. i am convinced that there is a lot more that must be done – and done fast - within the bank. we are expecting shortly the arrival of a consultant from another central bank to help us with a strategic review of our existing structure. as a pro - active institution, we want to make sure that our staff is equipped with the right tools, given state - of - the - art training and imbued with the level of professionalism that the situation calls for. i hope i shall be able to count on the support of the staff and the union as we press on with the re - engineering that we have already embarked upon. we shall proceed in a measured manner, with full consultation every step of the way. i have been