25 Đ Đ Reforms in the Markets in Financial Instruments Directive II (MiFID II) have also awected the global investment research climate, with potential spill-on ewects on the liquidity and vibrancy of public markets. Research budgets are shrinking and small to mid-cap stocks are increasingly seeing a reduction in research coverage [14] . These factors could impact the liquidity of public markets, especially for thinly-traded smaller firms which may not receive suwicient investor attention despite having strong fundamentals. 26 Đ Đ Amidst these trends, there is a need to respond to changing funding needs and be flexible to accommodate these evolving business models. 27 Đ Đ In Singapore, we seek to support corporates’ financing capabilities and needs across the corporate lifecycle – from early stage financing to mature companies looking to tap on financing from public markets. As part of Singapore’s Financial Services Industry Transformation Map (ITM) to transform Singapore into a leading global financial centre that connects global markets and supports Asia’s development, MAS has introduced a number of initiatives to support enterprise financing in both private and public markets. • Venture capital and private equity managers are an essential element in the financing lifecycle, by providing smart capital and operational and business expertise to portfolio companies. • To facilitate activities of venture capitalists to support small and medium-sized enterprises (SMEs), we have simplified and shortened the authorisation process for venture capital managers.

With the Financial Advisory Team in imSME, unmatched or unsuccessful applicants will be further motivated to enhance their capacity and capability with relevant trainings aimed at improving their chances to secure financings or loans in the future. The imSME complements existing initiatives in the SME financing ecosystem, such as BNM’s Fund for SMEs, alternative financing channels such as equity crowdfunding and P2P lending, and the Small Debt Resolution Scheme. BNM’s Role to Encourage Financial Inclusion & SME Financing SMEs is a pertinent component of Malaysia’s economy. To reap their full potential, SMEs must be continuously nurtured, guided and developed to become more competitive. The financial services industry needs to play its role in continuously innovating, adapting to the digital disruption and be the frontier in driving the national SME agenda, by ensuring adequate access to financing. Technology has the potential to transform financial services. Most notably it dramatically reduces the costs of providing access to financial services, particularly in remote locations and to small borrowers; transforms credit decision-making ability by enabling lenders to tap into alternative data sources. This has made it possible for people without collateral or credit histories to borrow; and simplifies finance and enabling providers to significantly improve the quality of customer interactions. There is a need to advance new ways to deliver financial services to the underserved, beyond the provision of access points. In particular, the potential to effectively integrate the delivery of financial services with the day-to-day activities of underserved segments remains largely untapped.