‘Seychelles economy on track for a great future’ |02 December 2013
Steps taken by the country to achieve its vision of doubling its GDP by 2017 through the development of the financial services industry and the resulting growth of other economic sectors suggest that Seychelles is on track for a great future.
Vice-President Faure
The remark was made by the governor of Sri Lanka’s Central Bank, Ajith Nivard Cabraal, in his keynote address at the Central Bank of Seychelles’ (CBS) 19th annual lecture on Friday.
In his presentation Mr Cabraal, who was guest of honour at the event, gave details and explained how his country diversified its economy to revive and strengthen its financial sector after decades of civil war ended a few years ago.
The lecture on Friday, held at the International Conference Centre, coincided with the CBS’35th anniversary which fell on December 1. It was attended by Vice-President Danny Faure, ministers, MNAs and numerous key legal, government and business personalities.
The governor of the CBS, Caroline Abel, said the presence of so many key personalities symbolises the importance that they place on economic education but most importantly she said, “we value your insights as they help us understand the economic environment better in order to enhance the prosperity of our country”.
Acknowledging Mr Cabraal’s presence Ms Abel said: “Partnerships of such nature mainly between small island developing states are important as we can share experiences and learn from each other”.
For his part Vice-President Faure expressed great appreciation for the fact that “we will be able to learn from the experience of Sri Lanka, a jurisdiction of similar characteristics to our own”.
“We would be able to appreciate the work that has been done and understand how challenges have been mitigated,” said VP Faure.
Ms Abel
Ms Abel pointed out that as portrayed in a recent exhibition to mark CBS’ 35th anniversary, the bank has undergone significant transformation.
She however noted that after 35 years of existence, much work remains to be done in order to build upon what has been achieved so far. As we enter the next cycle of central banking in Seychelles, the bank has seen it fitting to review its strategic plan and introduce a new one for the next five years.
It clearly outline its objectives and enables the bank to focus on what it has to deliver in the years ahead, she pointed out.
“One important component of the plan is the deepening of the financial system, something which is crucial in attaining sustainable economic growth.
“We need a strong and resilient system that will be able to fulfill its role in the intermediation process between savers and investors,” Ms Abel said.
She added that without sufficient flow of financial resources there is a real danger that the economy will be starved of future growth and development.
“It is in recognition of this fact that the theme for this year’s lecture is ‘Buttressing the Seychelles Financial Sector - Embracing Globalisation while Preserving our Specificities’, she pointed out.
While the theme questions what the financial system should do for us today, it also puts to the fore what we want to see happen over time, Ms Abel explains.
Mr Cabraal said the measures and steps undertaken by the Central Bank of Seychelles to strengthen the country economy are good and should be reinforced.
“The excellent work you are currently doing is extremely useful in the transformation of your economy,” said Mr Cabraal.
He noted that for the past few years the relationship between Sri Lanka and Seychelles has been progressing at a rapid pace and across many frontiers.
“The high-level contacts between the presidents of our two nations have led to a firm foundation for the strong relationship that has been built between the people, businesses and governments of the two countries.
“When we witness the development of Seychelles a small country with a small population we marvel at the way the government has been able to position the country and put it on the world map,” he said.
“We also observed your country’s vision of doubling the GDP of Seychelles by 2017 through the development of the financial services industry and the resulting growth of other economic sectors.
“Such a vision and steps taken to realise that vision suggest Seychelles is on track for a great future,” said Mr Cabraal.
With regard to the theme of the lecture Mr Cabraal said the Central Bank of Seychelles means business to translate the country’s vision into a reality.
“I see a wonderful example of a central bank being sensitive to a country’s voices and taking action to fashion its own policy framework to deliver outcomes as envisaged by the country.
Mr Cabraal
“I appreciate such a policy stance and I am convinced you are on the right path particularly because the Central Bank of Sri Lanka also followed a similar policy direction for the past seven years where we were sensitive to our country’s vision and goals,” said Mr Cabraal.
Mr Cabraal said he has learnt a lot about the lSeychelles and its economy and he took the opportunity to highlight various aspects of the Seychelles economic transformation as reviewed by various international reports.
Following the different presentations a panel including the two Central Bank governors and other key speakers answered questions and clarifications from the audience.