our future as a nation. you are true public servants. salamat sa inyo! on behalf of my family – my wife elma, my daughters eula and mia, my son patrick and his wife miko together with my unica apo zara, my brothers and sisters — i thank you all. we are grateful that in sickness and in health, you were always there for me giving support, even singing and dancing to cheer us on. maraming, maraming salamat sa inyo! today, as i leave the bsp as citizen say, i will not say goodbye. instead, i will say … until we meet again. mabuhay si governor nesting at ang monetary board! mabuhay ang bangko sentral ng pilipinas! mabuhay ang ating inang bayan! mabuhay po tayong lahat! 3 / 3 bis central bankers'speeches

are two major types of transactions in the international gold market : the traditional spot transactions taken place basically in the gold markets of london, zurich and hong kong ; and the futures transactions including gold options, forwards and swaps basically on chicago board of trade, new york mercantile exchange, the mid - america commodity exchange and tokyo commodity exchange. a fledged gold derivatives market can effectively function for market players to hedge against risks and carry out investment and financing. the current major form of gold transaction at shanghai gold exchange is firm order spot transaction. with the development of chinese gold market, we will phase in a variety of gold derivatives including forwards and futures. in february and august this year, shanghai gold exchange has put forward successively t + 5 and deferred delivery products in addition to spot transactions. the attempts help the enterprises to fix costs, further preserve value, and avoid the uncertainties in production costs caused by price fluctuations. currently, the deferred delivery is done on a trial basis by means of down payment. the transaction could be settled before, after or on the contracted date as negotiated by the buyer and seller. the price is decided on the day of transaction. this product avails gold producing and demanding enterprises to hedge against risks, diversifies tools for investment and enlarges the variety of transactions on the market. the pbc will conduct further research on gold forwards and futures provided that financial risks can be effectively contained. 3. to integrate chinese gold market into the international market. we all know that the present chinese gold market is a relatively closed one with membership accessible only to domestic gold producers, intermediate consumers and commercial banks ; exports and imports have not been liberalized ; and no round - the - clock synchronized transactions with the international market. therefore, we plan to open the market further in an effort to solve the above problems, fuse the chinese gold market into the global market and create conditions to forge our market into a global player. we see as central bankers, that developed gold market can help to compliment the monetary policy instruments and improve macro - economic management. this is because gold still apparently demonstrates its character as a currency in the modern financial system. even after the collapse of the bretton woods system, the price of gold is still an important index for central banks to evaluate inflation. also, all central banks still hold considerable amount of gold as government reserves. gold reserves, foreign exchange reserves and quota at the international monetary fund form a nation ’ s international reserves that can be used to weather risks.