so different to that of the north atlantic? the first important factor was that asia did not have a banking crisis. in fact, most countries in the world didn ’ t have one. the extraordinary events of september and october 2008 put immense pressure on markets, and banks everywhere inevitably felt the effect of that. but most banks in asia and latin america over the past few years have generally not seen unusually bad losses on loans, nor had they been very much involved in the holdings of securities that did such damage to some of the world ’ s largest banks. similarly, the majority of governments have not ended up needing to re - capitalise banks in these regions. the second factor was that various countries in the asian region had ample scope for fiscal stimulus, and were prepared to use it. the chinese stimulus measures were just about the largest anywhere. the manner in which these were implemented may have led, in the view of some people, to other problems. but there is little doubt such measures were effective in boosting demand at the critical moment. the fact that there was scope to use fiscal policy this way reflects a long period of impressive fiscal discipline among most countries in the region. this is reinforced by asian habits of thrift among the population and the generally better growth dynamics for these countries, which of course makes fiscal management inherently easier. there is another factor at work too, whose implications have been powerful but increasingly are being seen as not quite so benign. that is that monetary policy in asia has been quite accommodative. compared with the north atlantic countries, this monetary accommodation has been much more effective as a stimulus, again because of the better state of banks through which much of its effect is transmitted. the issue more recently has been that accommodative conditions have started to look out of place given the robust growth in output, rising asset values and increasing goods and services price inflation. a number of countries, including key ones such as india and china, have been responding to this with tightening. some of the latin american countries have done likewise. the matter is complicated for those countries by the very low interest rates in the major countries – implemented, understandably, for their own domestic reasons – and concerns bis central bankers ’ speeches over the extent of capital inflow and potential exchange rate appreciation. this is one of the key issues for the year ahead. shifts in the global economy these are all important manifestations of the fact that different regions are at different points in their recoveries from the crisis

. third, we should manage risks efficiently and effectively – therefore building trust and credibility in the industry and creating new opportunities for sustained growth. a sound risk management framework allows institutions to deliver competitive and appropriate products and services to its customers as well as assess new growth opportunities. this is especially crucial for mfis as you virtuously take into account not only your financial performance but also both your social and environmental impact as well. fourth, it is important to espouse and instil greater professionalism and self - discipline across all levels of the organization. this is necessary to raise the profile of microfinance professionals and the philippine microfinance industry as a whole. greater professionalism is also essential to achieve operational excellence and improve sustainability efforts. 1 / 2 bis central bankers'speeches fifth, become financial industry leaders in being client - centric. we can gain, build and maintain customer loyalty when we provide products and services that are designed to meet their needs and even exceed their expectations. it is only when we think with our customers ’ best interests in mind when we deliver responsive and appropriate products and services, can we achieve industry leadership status. and finally, sixth, by maintaining an enduring commitment towards excellence – by benchmarking for success! we must always aim to achieve a standard of excellence in everything we do. excellence does not happen by default. creating and cultivating a culture of excellence in our respective organizations is therefore a conscious decision to apply considerable thought and meaningful execution to everything we do. launching of the 16th citi microentrepreneurship awards at the core of our “ going back to basics ” mantra are, of course, our clients. amidst all the talk about innovation, technology, and disruption, at the very heart of it are still, our clients. it is only appropriate, therefore, that we continue to showcase truly inspiring success stories of microfinance clients as we launch the 16th citi microentrepreneurship awards ( cma ). the cma was conceptualized in 2002 by the bangko sentral, mcpi and the citi foundation. through the years, it has served as a vehicle that inspires micro entrepreneurs nationwide to achieve greater heights … to believe that by putting in the hard work, anything is possible! may the stories of our clients serve as reminders of the value and nobility of our work. thank you to our partners, mcpi and citi foundation. our partnership is a significant contribution to the bsp