in maintaining stability in a changing financial system, federal reserve bank of kansas city, and hall, r. e. ( 2011 ), “ the long slump ”, american economic review 101 ( 2 ), 431 – 469. source : s & p “ transition study : less than 1. 5 % of european structured finance has defaulted since mid - 2007 ”, 11 june 2013. similar evidence can be found in, moody ’ s investors service “ structured finance rating transitions : 1983 – 2013 ”, 7 june 2013, as well as fitch ratings “ the credit crisis four years on … structured finance research compendium ”, june 2012, and “ emea structured finance losses ”, august 2011. bis central bankers ’ speeches these changes could go a long way towards reviving investor trust in abss. unfortunately, there is also a second impediment : the potentially uneven and disproportionate treatment of abs in forthcoming regulations. let me specifically point to two measures which arguably may have the most influence on the future of the abs market : the revisions to the basel securitisation capital framework for banks and the solvency ii regime for insurers. the basel iii proposals announced at the end of last year would lead to sharp increases in capital requirements for securitisation exposures, particularly for senior high - quality tranches, despite the lack of eu default evidence to support such large changes. all abs were perceived as too risky due to the us experience in the subprime mortgage markets. but this regulation is like calibrating the price of flood insurance on the experience of new orleans for a city like madrid. similarly, if adopted the solvency ii framework would prescribe capital charges for insurers of 80 % for abss with a aa - rating and 42 % with a aaa - rating. by contrast, the charges for corporate bonds would be 6 % and 5 %, respectively. there is little doubt that these regulations would strongly impact the future decisions of banks and insurers to invest in securitised products. in my view, greater coordination on the political and technical level is necessary to ensure that these regulations treat abss in a fair manner and do not lead to overshooting. regulators need to base their calibrations on data. but unfortunately, there is no single database with high quality and comprehensive data on the global abs market ’ s historical performance. obtaining information on abs market prices is also challenging. regulators often have to make

dos servicos financeiros para as zonas rurais, ( banking the economy – expanding financial services to the rural areas ), believing it to be a current matter of national interest and importance for our reality where the district was assumed as the pole of development. ladies and gentlemen the hosting of our consultative council here in nampula is a sign especially addressed to financial institutions and operators, to show that we should expand our activities beyond the capital city. and for that reason we are grateful for the presence in this session of the governor of nampula province and other representatives of the north region provinces. we are conscious that the attainment of the will for greater expansion of financial services throughout the national territory requires the intervention, with appropriate measures, by several interested parts : the government, the private sector, and ourselves – banco de mocambique! our strategy of reinforcing the level of expansion of banking institutions throughout the country, facilitating and encouraging the enlargement of financial services, had an important landmark with the process already underway, which consists of opening five branches of the banco de mocambique in similar number of provinces. until now branches have been inaugurated in quelimane and maxixe cities, with plans to open pemba branch next week. this process will come to the end with the inauguration of branches in lichinga and tete by the end of the first semester of 2007. the banco de mocambique territorial expansion is within the performance of its role as central bank, namely, as the authority of the national payment systems, supervisor of institutions, issuing bank, and manager of money circulation. therefore, we are conscious that the branches will facilitate our mission and will contribute to the ( i ) reduction of storing costs and transport of banknotes and coins by commercial banks, ( ii ) intermediation of government financial operations ( iii ) deposits and withdrawal of banknotes and coins of the metical by the banking system, ( iv ) licensing of foreign exchange operations and ( v ) support and supervision of micro - finance institutions. the urgency in expanding banking institutions throughout the country becomes similarly relevant in the context of regional economic integration programs underway within the sadc, as well as in the african continent. the creation of a single sadc central bank, and later an african central bank, will require a sound, modern financial system, with territorial coverage, otherwise institutions of other member countries of the region will reach this segment of the market rapidly, which