The banking sector has also witnessed a tremendous improvement in the payment system with the introduction of ATMs, electronic funds transfer system including the Real Time Gross Settlement (RTGS). This will hinder money laundering, over any rogue-elephant banks. Chief executives must understand that, while I want good relationships with them, they must not deal with matters that might force the central bank to intervene.
Closer to home, the turn around of the former PNG Banking Corporation, prior to its sale, other financial institutions that the Bank supervises, such as superannuation funds (case of NPF) from loss-making institutions to profitable ones in a short space of time was based on one thing alone; the newly appointed Board and management of these institutions ensured that everyone was diligent and followed the established rules and guidelines re-sounding good governance.