from which the transaction is being charged, the principle secretary in that ministry, the head of finance and all those who need to know about the transaction will be informed by way of their mobile phones so that where the transaction is dubious, immediate corrective measures can be taken. we live in a changing world. in the past, we were worried with people standing by the roadside at night to steal from us, today thieves have become sophisticated and are in white collar, robbing us in broad day light and often these acts are perpetrated by those we trust and in position. we need to remain vigilant and we need to raise our sophistication even more, so that they do not beat us. this is why the rbm is leading the way in complementing government efforts and those of the anti - corruption bureau, the financial intelligence authority and others to ensure that the rbm is free of corruption in all its staff, premises, processes and systems. we stand here to declare total war on corruption. it is therefore my absolute delight that i can preside over this function. the board of the reserve bank of malawi also recently approved our fraud and anti - corruption policy, which defines the stance of the bank on fraud and corruption. the policy reinforces existing systems, policies and procedures, rules and regulations of the bank towards the fight against fraud and corruption. it aims at deterring, preventing, detecting, reacting to and reducing the likelihood of fraud and corruption. the policy confirms the bank ’ s commitment to a culture of zero tolerance to fraud and corruption in all its forms within and outside the bank. our motto speaks for itself, “ not in the reserve bank of malawi ”. the tip - offs anonymous is one of the measures of curbing corruption within the bank. with the tip - offs anonymous, you can report malpractices and still remain anonymous which has proven a success with other public institutions. i am sure that this whistle - blower hotline creates a better alternative for members of staff and the general public to report any unethical behaviours. i am aware that misguided persons may want to misuse the system to the detriment of others. let me be clear here that each and every reported item would be thoroughly investigated and scrutinised before arriving at a conclusion. ladies and gentlemen, some of you might wonder why the public launch and not just issue an internal communication to members of staff. this programme has to be used by all

, it is not too late to get back on a positive trajectory. recent policy changes, including the 49 percent devaluation of the official malawi kwacha exchange rate against the us dollar, and the subsequent floatation of the kwacha exchange rate are some of the policies that are being put in place to create a better malawi. there will be short term costs, but the long - term gains more than compensate for the losses. ladies and gentlemen we made it clear at the onset that the adjustment we have taken will have a price that we all, malawians have to pay in order to have a long lasting solution. waiting any longer would have been worse. at the bank we do not envisage a reversal on the position that we have taken. the results in the short term have been exceptional. forex is now available ; the queues at the bank for forex and fuel have dissipated. tobacco prices are good and we anticipate a reversal in the tobacco production this coming season. there is an immediate pass - through to price increases and we anticipate the full effect of the devaluation in the next six months with inflation going up from the march level of 12 % to an average of 18. 4 % in 2012. however we anticipate an amelioration of inflation to average 16. 1 % in 2013 and returning to a single digit average in 2014. the most frequently asked question is : “ how will the reserve bank ensure sustainability of foreign exchange? ” i am proud to report that the bank has put tremendous efforts to address the supply side of foreign exchange. you may be aware that the bank has taken a lead in the export development fund ( edf ) initiative to promote exports in the country. consequently the government has developed the national export strategy ( nes ) to be implemented through participatory process to transform malawi from a predominantly importing and consuming nation to becoming a producing and exporting nation. the nes will prioritise bis central bankers ’ speeches investment incentives to develop productive capacity, encourage foreign and domestic investment and ultimately create sustainable export capacity. ladies and gentlemen you will agree with me that malawi has lagged behind its neighbours in the sub - saharan africa with its share of regional exports to the world declining sharply over time in terms of the business environment indicators such as transaction costs and infrastructure. adjusting the exchange rate regime was one of the measures to enhance malawi ’ s international competitiveness. the bank recognises that further steps still remain to be