In recent decades, however, the real rate of interest – i.e. the nominal interest rate less consumer price inflation – has likewise been falling (cf. chart 3). As central banks have only limited influence on the development of the long-term real rate of interest, other factors must have been at work. First, population ageing in the advanced economies has resulted in an increased propensity to save, which in turn has increased the supply of investable capital. 4 1 2 3  4  The percentage rate applied to retirement savings to calculate the annual old-age pension. The minimum rate for the interest payable on retirement savings. The parameters apply first and foremost to mandatory insurance cover. Under the BVG, it is the portion of a salary between CHF 24,885 and 85,320 (the ‘coordinated salary’) that has to be insured. However, many pension funds pay benefits over and above this statutory minimum (‘non-mandatory’ pension insurance). Pension funds that provide ‘comprehensive’ insurance cover in excess of the minimum benefits prescribed by law can define a conversion rate applicable to all retirement savings, provided the pension actually paid is at least as high as the pension payable under the mandatory insurance. If life expectancy increases while the retirement age stays the same, the number of post-retirement years rises. Thus employees have to save more money than previously if they are to be able to spend the same amount each year in their old age. Page 3/8  Second, productivity growth is declining.
Caleb M Fundanga: The importance of cross border information exchange for Zambia Remarks by Dr Caleb M Fundanga, Governor of the Bank of Zambia, at the launch of the Alumniportal Deutschland, Lusaka, 25 November 2008. *  *  *  • Her Excellency the Ambassador of the Germany Embassy in Zambia • Management and staff from the Germany Embassy in Zambia • Fellow alumni • Members of the press • Distinguished invited guests • Ladies and gentlemen Guten Abend meine Damen und Herren. I am truly honoured to officiate at this important Launch of the Alumniportal Deutschland. I am informed that Africa has a rare honour of being the first continent to implement the Alumniportal Deutschland. I am certain that our implementation process will define the failure or success of the whole project. We thus have a huge challenge to ensure that we achieve success and provide a benchmark for others to emulate. However, looking at the many beaming faces present in this room, I have no doubt that we will provide more than just a benchmark for others to follow. I am glad to note that we are all optimistic on the success of this project in Zambia in particular and Africa in general. We have a duty to represent our continent and give it the honour that it so deserves. Your Excellency, the Launch of the Alumniportal could not have come at more opportune time when cross border information exchange has become cardinal in every aspects of life especially trade.