Clearing members or the customer’s bank may also provide intraday credit to their customers, again making payments before funds have been received in order to help speed the payments chain. Over the course of October 19, 1987, the system worked largely as I have just described. But on October 20, every single link in these payments and credit chains was interrupted.
At the outset, let me reiterate that the Bank is pursuing its mission of preserving monetary and financial stability, whilst supporting Mauritius’ transition towards becoming a digital economy. Ladies and gentlemen, as a prelude to the second part of my speech, allow me to set a few elements in perspective… First, inflation.