These factors have slowed the recovery in primary issuance, and suggest that ABS markets are likely to be much smaller in future. Indeed some markets that were at the epicentre of the crisis, such as those for structured collateralised debt obligations (CDOs), may be permanently gone. 5  Just in the past couple of weeks we have seen the first European CMBS to be issued since August 2007. In the United Kingdom, some corporates have issued long-dated fixed-rate bonds secured on real estate as part of sale and leaseback transactions. Market participants, however, tend to regard these transactions as corporate debt, rather than CMBS. 4  BIS central bankers’ speeches  Chart 6 10-year sovereign bond yield spreads to German Bunds Basis points 1400 Portugal  Italy  Ireland  Greece  Spain  United Kingdom  Chart 7 Selected European sovereign CDS premia Basis points 2000  1200  1000  1800 1600 1400  800  600  400  Ireland Italy Portugal Spain UK Greece (LHS)  Basis points  0 Jan.  Mar. May. Jul. 2010  Sep.  Nov.  Jan.  Mar. May. 700 600  1200  500  1000  400  800  300  600  200  400 200  800  100  200 0 Jan. Apr. Jul. Oct. Jan. Apr. Jul. Oct. Jan. Apr. 2009 2010 2011  0  2011  Sources: Bloomberg and Bank calculations.
In most cases, these branches or outlets are located in urban centres, with rural areas having few if any branches. Conversely as at June 2010 the three mobile phone operating networks in Zambia had a total of about 4.6 million subscribers. Distinguished participants, this situation grants us an opportunity to develop innovative approaches of extending financial services. It will no doubt involve remodelling of traditional  BIS Review 144/2010  1  products, service delivery channels and regulatory frameworks. It is important that all possible alternatives are critically examined for viability, safety and efficiency. Some of the alternatives that need urgent examination include bank partnerships with non-bank agents to provide wider distribution outlets for payments and other financial services, and leveraging new technologies such as a common national switch to extend financial services. Mr Chairman, the Mobile Money Transfer has the potential to act as the fulcrum of branchless banking, which allows provision of transactional banking services without the need of a “brick-and-mortar” branch. Individuals are allowed to remotely access cash using different technologies, which may include automated teller machines, point of sale devices, mobile phones, payment cards or other smart technologies. To ensure that payment service providers take full advantage of the benefits that come with implementation of a Mobile Money Transfer, they must develop and embrace new business models. These models may be built around the existing large financial flows such as remittances, salary and wage benefits, pensions and other government social benefits transfer system.