Finally is the need to ensure the security and integrity of the payment system which requires the supporting regulatory and legal framework to be in place. The Payment Systems Act, the E-money Guideline issued by Bank Negara Malaysia and the Exchange Control Act rules for cross-border remittances serve as the main regulation in this area. In addition to e-payment channels and e-money as a mode for pursuing the financial inclusion agenda, there holds much promise in the usage of agents or non-bank intermediaries to extend the outreach of financial services to the underserved in the Asian region. In Malaysia, we have facilitated the utilisation of post offices as a delivery channel for banks to provide simple banking services, including opening of accounts, cheque and cash deposits, cash withdrawals, funds transfers and remittances, and loan repayments. By engaging the services of post offices, the banks are able to leverage on the wide dispersion of post office branches in non-urban areas as well as the communities' familiarity and trust associated with services offered by post offices. Malaysia's approach in the regulatory framework for such arrangements places the responsibility the banks to put in place the necessary safeguards and controls. Such controls include requirements to set transaction limits, establish sound reporting and monitoring mechanisms, and conduct periodic assessments towards ensuring that the integrity and quality of financial services provided is maintained at all times. In addition, substantive consumer education and protection measures have been implemented, which would also be applicable broadly to branchless banking related issues.

Third, the euro area has a balanced current account. As such, the euro area does not contribute to global imbalances, one of the main challenges facing the global economy and the world community. It is worth stressing that the euro area is the relevant dimension to consider for a vast single currency and economic area with a common exchange rate and monetary policy. And there, the numbers are clear: the euro area current account balance averaged less than 0.1% of GDP over 2005–2007 before the global crisis broke out, according to IMF figures. Moreover, the euro area current account is still projected by the Fund to be broadly balanced this year and the next up to 2015. The picture is very different in other parts of the world. A concern is that after some partial reduction induced by the crisis, global imbalances are starting to widen again. This raises challenges for international monetary and financial cooperation. The euro area has a significant stake in effective global re-balancing, notably through sounder domestic policies worldwide which, in turn, would contribute to global external stability. The global economy has a lot of homework to do if it is to address these challenges. People of goodwill, inspired by the desire to keep the global economy “open, market-based, just and protective” will surely be needed to that end. Credit should therefore be given to initiatives such as the Global Economy Prize to encourage them to press ahead in that direction. 2  BIS central bankers’ speeches