Opening Remarks by PAk31v6

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									                           Fourth Annual Meeting of the
                         LAC Debt Management Specialists
                             May 14-16, 2008, Trinidad



                               OPENING REMARKS


Honorable Ms. Karen Nunez-Teshiera, Minister of Finance of Trinidad and Tobago;
Other Government Authorities; Mr. William Ortiz, President of the Group of Latin
American and the Caribbean Debt Management Specialists, Members of the Group,
Distinguished Participants, Ladies and Gentlemen:

Welcome to Port of Spain, the beautiful capital of Trinidad and Tobago, and to the Fourth
Annual Meeting of the Group of Latin American and the Caribbean Debt Management
Specialists Group.

I wish to thank the Ministry of Finance of Trinidad and Tobago for hosting this event,
together with the Inter-American Development Bank, which for the first time is taking
place in the Caribbean.

The joint efforts of the LAC Debt Group members and IDB made it possible to continue
with this initiative, which has already achieved important objectives, such as the transfer
of know-how among Debt Management Agencies of the region, and the enhancement of
their institutional capacities.

The IDB is committed to the promotion of well functioning of the financial systems in
the region, and sovereign debt management remains an extremely important topic. In this
respect, the IDB supports the development of regional debt markets through loans,
technical assistance, and dialogue at the regional and country level, and IDB specialists
stand ready to help debt managers in various areas of interest.

Past meetings addressed specific themes, such as institutional arrangements for public
debt management, optimal structure of debt and risk management issues, secondary
markets improvement, and derivatives markets development.

This year’s meeting will address debt management issues through 3 panel discussions:
   (i)     The interaction of debt management agencies with markets;
   (ii)    The coordination of fiscal and monetary policies with debt management; and
   (iii)   The role of financial regulation and supervision of debt markets and their
           relationship with debt managers.

The first panel will look at the final beneficiaries of debt management process, namely
investors. Today, markets are closely related to one another, and local financial markets


                          Opening Remarks by Iwan Sewberath Misser
                                Fourth Annual Meeting of the
                              LAC Debt Management Specialists
increasingly represent a major source of public funding. Countries in the region are
taking steps to enhance their relationship with international, local and retail markets.

The second panel focuses on the coordination of fiscal and monetary policies with the
debt management process. Experience suggests that fiscal and monetary policies need to
be coordinated with debt management to avoid the mismatches and to reflect trade-offs.
For example, a Central Bank may require an increase in interest rates to control inflation,
but this may also increase the cost of public debt. The coordination of monetary and
fiscal policies with debt management policies is required for countries to achieve their
policy objectives with efficacy and efficiency.

The third panel focuses on the important role of regulators and supervisors in ensuring
well functioning debt markets. An adequate regulatory and supervisory framework is
needed for investors and public debt issuers to interact efficiently. Different institutional
and regulatory frameworks have different implications for how the markets are
supervised and how debt management agencies interact with regulators and supervisors.

I hope that all of you will enjoy and contribute to productive discussions over the coming
days, and I wish to reiterate our collective appreciation of the Government of Trinidad
and Tobago for hosting this event.

Thank you.




                          Opening Remarks by Iwan Sewberath Misser
                                Fourth Annual Meeting of the
                              LAC Debt Management Specialists

								
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