To set things in motion, we introduced the Interoperable Credit Transfer Framework (ICTF) last month. Along with the RPP, the ICTF is also expected to be a game changer for Malaysia’s payment landscape, particularly for mobile payments. For the first time in Malaysia and likely in the region, banks and non-banks will be connected on a single payment network. This is a good example of a strategy of collaborative competition, or ‘co-opetition. Payment providers collaborate at the infrastructure level via the shared payment infrastructure and compete on the service level. This expands network reach, lowers costs and avoids duplication of resources by the industry. It also focuses competition at the product level. Looking ahead, we envisage industry players to develop more innovative value-added features to provide better service levels to consumers and merchants. Another important area where innovation plays a prominent role, is to advance financial inclusion through digitalisation. Out of the Malaysian adult population of 24 million, we estimate that about 10 million do not use online banking, while 2 million remain unbanked. We look to the industry, both banks and non-banks, to come up with new and imaginative ways to accelerate the onboarding of these underbanked and unbanked segments of our society. In supporting this, the transaction fee for instant transfer transactions up to RM5,000 will be waived effective 1 July 2018 for individuals and SMEs. Strategies beyond monetary incentives also need to be employed. For example, mobile payment applications should be convenient, fast, secure, simple and intuitive.

According to their mission statement, it aims to improve the quality of economic policy with open and fact-based research, analysis and debate, targeted at improving the quality of economic policy. At the same time, we are proud that the National Bank of Romania has been a member of Bruegel think tank since 2016. Returning to our guest speaker: André Sapir is a Professor at the Université Libre de Bruxelles (ULB), he also teaches “International Economics and European Integration” at the Solvay Brussels School of Economics and Management. Prof. Sapir has a PhD from Johns Hopkins University in Baltimore, where he studied with the famous trade economist Bela Balassa. He was elected Member of the Academia Europaea and of the Royal Academy of Belgium for Science and the Arts. He was a Visiting Fellow at the International Monetary Fund, the World Bank and the World Trade Organization. Prof. André Sapir has written extensively on international economics including European integration, monetary union, international trade, international policy coordination and globalization. He worked for the European Commission as Economic Advisor to the Director-General for Economic and Financial Affairs (1990–2001), then he was Economic Advisor to President Romano Prodi and also headed his Economic Advisory Group (2001–2004). From 2005 to 2009 he was External Advisor to President José Manuel Barroso. From 2011 to 2015 he was successively Vice-Chair and Chair of the Advisory Scientific Committee and Member of the 1/2  BIS central bankers' speeches  General Board of the European Systemic Risk Board (ESRB), Europe’s financial stability oversight body.