As you are aware I re-joined the Bank as Governor again after a long break of eight years which I spent mostly overseas. Having seen the human resource landscape in Mauritius after so many years and the quality of human capital relative to the exigencies of the day, I should express my appreciation to the Association for having chosen this topic.
The benefits substantially exceed the potential output costs for a range of higher capital and liquidity requirements. The balance of evidence suggests that there is substantial room to strengthen capital and liquidity standards in a way that does not jeopardise near term growth, but enhances long term stability and economic output.