This is contributing to keeping interest rates low in Norway too. Chart: Oil price and import-weighted exchange rate index (I-44) The sharp fall in oil prices since summer 2014 has affected the outlook for the Norwegian economy. The fall in oil prices came on top of a planned downscaling of activity in the Norwegian oil sector. After expanding rapidly over several years, oil investment and activity in the sector are now set to be at a considerably lower level over the next few years. This will have negative spillover effects on the mainland economy. Monetary policy cannot assume a primary responsibility for delivering necessary structural changes in the economy. But through the effects on the exchange rate, monetary policy can provide a push to restructuring in the business sector. The prerequisite for a pronounced weakening of the krone concurrent with low interest rates is continued confidence that inflation will remain low and stable over time. Let me now turn to a more detailed account of the monetary policy pursued over the past year. Monetary policy in 2014 was marked by steadily lower foreign interest rates and weaker domestic growth prospects. Chart: Petroleum investment The Norwegian economy broadly followed the path projected at the start of 2014. But the picture changed just before summer. Ahead of Norges Bank’s monetary policy meeting in June, information indicated that oil investment would fall markedly in 2015. High cost growth and focus on improving profitability prompted oil companies to scale back their investment plans.

Recently, new business models and arrangements have also emerged to address the prevailing 1/3  BIS central bankers' speeches  gaps in the cross-border payments space. These among others include the introduction of SWIFT’s Global Payment Initiative (SWIFTgpi), a pioneering attempt at linking payment infrastructure through the experimental usage of distributed ledger technology. These have the potential to improve efficiency, allowing faster, secure and transparent cross-border payments. At the ASEAN level, efforts have been made to foster greater regional integration through linkages of the real-time retail payment infrastructures (RT-RPS). The ASEAN Payments Policy Framework was established as a set of principles to facilitate the linkages of RT-RPS. Bilateral arrangements have also been established by several ASEAN countries, including Malaysia, to enhance the efficiency of cross-border payments. For instance, linking between Singapore’s PayNow and Thailand’s PromptPay to facilitate more seamless cross-border payment transactions in real-time, and similarly to extend the linkage to Malaysia’s DuitNow. Once operationalised, this could enable cross-border payments between participating financial institutions to be virtually as seamless as domestic transactions. At the national level, Bank Negara Malaysia (BNM) is directing its regulatory and supervisory resources towards safeguarding the safety and soundness of payment and remittance systems. We are stepping up efforts to reinforce public confidence and acceptance of e-payment and eremittance services, particularly among underserved segments. We are also working to futureproof the country’s payment infrastructure to meet evolving market needs, including migrating to the ISO 20022.