own. finally, in addition to certification, it would be helpful to have consistent standards and transparency requirements for organizations that lend to small businesses. such standards and requirements exist for lending to households, and i believe the same justification exists to extend these requirements to small businesses. as a result, small business owners would have greater confidence that they fully understand the terms and conditions of their loan. this, in conjunction with the access to more financial information and education, will help small business owners make better decisions about their use of credit. conclusion in summary, economic conditions in the bronx are improving but more progress is necessary. community banks will play a key role in spurring this progress, so it is essential that they remain financially sound and engaged. the financial crisis provides many lessons for how banks can thrive even in turbulent economic conditions. the vitality of the bronx and other communities depends on the ability of entrepreneurs to establish and grow new businesses. while access to credit is important, success depends on a wide range of factors, and we need to make sure new business owners have the help they need to prosper. bis central bankers ’ speeches

bank and will analyse developments in south africa and the rest of the world that could affect inflation. finally, the present institutional framework in south africa in the form of the south african reserve bank act, act no. 90 of 1989, provides the reserve bank with a great degree of autonomy in its operations. the reserve bank ’ s functional independence on monetary and related policies is clearly stated in sections 10 and 35 of the south african reserve bank act. section 35 empowers the board of the bank to make rules “ for the good government of the bank and the conduct of its business ”. in section 10 the powers and duties of the central bank are spelled out in great detail. most of the functions described in this section are the normal functions that one would expect a central bank to perform. in section 10 ( 2 ) it is also clearly stated that “ the rates at which the bank will discount or rediscount the various classes of bills, promissory notes and other securities, shall be determined and announced by the bank from time to time ”, clearly giving the bank the right to determine bank rate in an autonomous manner. the personal dependence of the reserve bank is determined by section 4 of the act indicating the conditions of appointment of the governor, three deputy governors and other board members of the reserve bank. this section clearly precludes any person actively involved in politics of becoming a board member of the bank. seven of the directors, including the governor and three deputy governors, are appointed by the state president, while the other seven are elected by the shareholders. by means of these appointments the government, of course, have an effective say in the policies of the bank. the governors are, however, after their appointment normally allowed to operate in an independent manner. the instrumental independence of the reserve bank is clearly spelled out in the act and the reserve bank is precluded in section 13 ( f ) of making excessive direct purchases of government stock. in this last - mentioned section it is stated that the bank may not “ hold in stocks of the government of the republic which have been acquired directly from the treasury by subscription to new issues, the conversion of existing issues or otherwise, a sum exceeding its paid - up capital and reserve fund plus one - third of its liabilities to the public in the republic ”. this section therefore restricts the direct financing of government deficits. the south african reserve bank is also financially independent from the government because of adequate financial resources and complete control over its own