This morning I’d like to offer a few thoughts on a small country perspective on global financial sector regulatory reform. But, before doing so, I’ll comment briefly on the relationships within the regulatory community. Relationships 150 years ago, during the American Civil War, Abraham Lincoln said “the best thing about the future is that it comes only one day at a time”.
Some illustrations are: a speech in Goa in August 1997 to “talk down the rupee”; reassuring statements on market developments in the context of Asian crisis combined with a package of measures, in tranches in 1997 and 1998; pre-emptive measures in mid-1998 in the context of crisis in Russia; reassuring statements issued in the context of border conflict in 1999; a combination of liquidity injection and reassuring statements along with measures in the context of the 9/11; and in 2005, to explain the impact of the redemption of the India Millennium Deposits, to the extent of US dollar seven billion, on the foreign exchange markets.