- functioning danish labour market and contrasts with the situation in the debt - ridden southern european countries, where unemployment reached a very high level before wage inflation could be reduced. in other words, the danish economy is adjusting to the situation and no political interference is required. denmark is positioned for growth and demand is likely to normalise as the output gap gradually closes in the coming years. * * * bis central bankers ’ speeches the negative sentiment in the housing market has curbed economic growth in denmark for some time. but now we are seeing the first budding signs of improvement. prices have stabilised over the last year and have begun to rise in some market segments – particularly owner - occupied flats in the cities, notably in greater copenhagen. although the milder winds may also blow across other parts of the market, there are bound to be areas that will not feel them and where prices will continue their downward trend. the housing market is becoming polarised. this is to a large extent due to migration within denmark, with parts of the country experiencing negative population growth and economic decline, while e. g. the copenhagen area is prospering. in danmarks nationalbank ’ s assessment, house prices are below the level to be expected – based on historical evidence – given the current levels of income, taxation and interest rates. on the basis of these underlying conditions it is estimated that house prices will rise slightly for denmark overall in the coming years. this estimate is subject to considerable uncertainty. the difficult, not to say impossible, part is to predict exactly when the mood changes, irrespective of the underlying conditions. * * * the danish mortgage credit system is unique. no doubt about it. the system has proved its worth during the financial crisis and the subsequent sovereign debt crisis, and these have been genuine stress tests. in spite of the odds, it has been possible to expand lending to households and corporates and sell bonds in the market – increasingly to investors abroad. all along, investors have had confidence in the credit ratings of the bonds and the high liquidity in the mortgage credit market. pension funds are large investors in mortgage bonds, and banks to a large degree use short - term mortgage bonds for liquidity management. hence it is hardly surprising that the committee on systemically important financial institutions has identified the market for danish mortgage bonds as systemically important. actually, the danish mortgage credit act already provides for sifi legislation in relation to mortgage credit. the act lays down stringent rules for the relationship

of licensing and enforcement before moving to the bank of zambia. to say something about my academic qualifications, i graduated with a bachelor of laws degree from university of zambia, thereafter a master of laws degree from harvard where i was a fulbright scholar and a phd from university of london, centre for commercial law studies, queen mary and westfield college. allow me to mention that all my studies were done on scholarship. bis central bankers ’ speeches apart from my work, i am also involved in service to the public and to the church through sitting on various bodies. i was not appointed to this position my chance ; it took effort and hard work to be noticed. i believed in myself and knew i had to put in the best to achieve anything i wanted to achieve. so what message do i carry for you this afternoon? my theme is that you can do it! to you the students, i want to encourage you to see yourselves as leaders. you are the future of this nation. you are part of the cream that need to push this country forward. i would like you to realise that academic and professional qualifications are an integral part of settings yourselves up for one ’ s life. by being here, you are establishing a path for your successful career whether as an employee or an entrepreneur. the knowledge that you are gaining is assisting in developing and enhancing your ability to think and perceive as well as manage the various situations that life offers. the outcome of your academic development will obviously have a positive impact on your family, society, culture and country at large. make sure you take full advantage of this opportunity. it sets the stage for the rest of your future. if you graduate from here with poor grades will mean you have limited your access to top notch institutions, should you, for example, wish to get an advanced qualification. you are limited even to apply for scholarships. and in situations of competition, the best will be selected. zcas is one of the renowned institutions in zambia. one thing you must realise is that not everyone has the opportunity to be enrolled in an institution of higher learning to obtain an academic or professional qualification. therefore, you must make the best of this opportunity to be here at zcas and indeed, be thankful to god. many of your friends are not able to have this opportunity. i am also aware that for quite a good number, it is a great sacrifice by your parents to send you here. you should ensure that this investment pays off by putting in your best. discipline for many of