In the aftermath of the recent sub-prime episode in some of the developed countries, caused also by wide dispersal of credit risk throughout the system through complex structured transactions, I am sure, you would appreciate the merit of adopting an appropriate incentivecompatible prudential approach towards securitisation.
Bank’s balance sheet Traditionally, the Bank has been very conservative in managing its foreign exchange reserves. Our foreign reserves are mainly invested with major central banks. –  In the wake of the global crisis, these central banks systematically reduced the rate of interest payable on deposits.