Similarly, there are also some sectors or groups of businesses which, due to their business characteristics and lack of track record, limited credit history and inadequate collateral, do not have adequate access to financing from the banking system. These are clearly instances of market failure, and the establishment of the DFIs is indeed an attempt to rectify this shortcoming. In this regard, in achieving national policies for economic and social development, the DFIs are established as a strategic conduit to bridge the gaps in the supply of financial services, by channelling the resources and funds in the financial system to areas and sectors that are deemed as strategic for long-term economic development purposes. In essence, the DFIs are complementing the banking institutions in meeting the financing requirements of the  1/5  economy, particularly in supporting the economic and social development of a nation. The establishment of DFIs is part of the national development plan itself. As policy-based financial institutions, the DFIs have roles and mandates which are linked closely to the country's national development objectives. This is evidenced from the establishment of DFIs with specific purposes to promote development of identified sectors, ranging from industrial and agriculture sectors to areas such as export promotion, infrastructure development as well as the small and medium enterprises (SMEs). It is notable that the roles of DFIs have evolved in the course of a country's economic development and transformation. This is important in ensuring that the DFIs remain relevant to support the changing financing needs of the economy.

Industry players need to step up to next level to enhance consumer experience The Project Greenback initiative in Sabah will lay a strong foundation for industry players to take the digitalization agenda to the next level. We must remember that disruptive technologies can radically change the way things are done. The old ways may not work anymore. Consumers are increasingly looking for convenience, speed, and low cost remittance services. Most importantly, they are looking for service providers they can trust. Competition is getting more intense. To illustrate this, let me share with you a CNN article on Amazon Go. Amazon Go is the future of retail shopping. You can walk into the convenience store, grab what you need, and you will receive a message that your credit card is charged for your purchase. The question is, what will be the future of the remittance sector? For the industry players, y o u can re-shape the remittance landscape. Use technology to eliminate the major pain points in remittance, to better understand consumer behavior and needs, and to offer consumers a positive remittance experience from the start. Within the migrant communities, words travel fast. We know that word-of-mouth is the most effective form of marketing. Although I believe that the brick-and-mortar stores are here to stay with digitalization, the savings incurred from not having to pay for overheads can translate to lower remittance costs for consumers. Ultimately, when there is greater use of authorised remittance channels, we can reduce remittances that are transferred through illegal operators.