BIS Review 69/2007  5  The key to our approach to the development of financial derivatives in India has to be a proactive stance for the adoption of robust risk management systems within the relevant financial intermediaries and, from our point of view, particularly in banks.
With regard to price developments, according to Eurostat’s flash estimate, annual HICP inflation was 1.8% in April 2007, after 1.9% in March. Looking at the coming months, barring further increases in oil prices, significant base effects deriving from last year’s energy price volatility will strongly influence the profile of annual inflation rates.