The presence of a large informal sector can impair the transmission of monetary policy as a significant segment of financially excluded households and small businesses make financial decisions independent of, and un-influenced by, the monetary policy actions of the central bank.
Words of appreciation I am deeply indebted to all those who have supported me during my two tenures of office. I thank Dr The Honourable Navinchandra Ramgoolam, GCSK, FRCP, our Prime Minister, for entrusting me with the responsibility of leading the Central Bank at this fraught period of its history, and for giving me his support all through.