since its establishment in 2012, this segment of the islamic capital market that advocates for greater socially responsible investment is expected to flourish further. bis central bankers ’ speeches reducing information asymmetry – a key pre - requisite for sustainable financing islamic finance has strong potentials to contribute towards a sustainable financing ecosystem for the green technology sector. i have shared with you the different facets of islamic finance that can meet the needs of green businesses. key to this is the need to reduce the information asymmetry between islamic financial institutions and businesses. the gtfs framework has been instrumental in assisting to bridge the information gaps between financiers and businesses. islamic financial institutions now have to build its capacity and capabilities to assess the viability of the green projects despite its complexity. green technology is a fledgling industry in this country and the banks require the knowledge and expertise to conduct thorough evaluation of the projects. training institutions such as ibfim can play a role in developing talents beyond the needs of traditional business and create experts in the assessment and evaluation of green projects. this would assist the development of new skills for the credit officers and risk management personnel to effectively undertake competitive analysis of the prospects presented by green projects. islamic banks could, in phases, consider to adopt the equator principles, a pledge given by 78 of its international conventional peers to enhance their capability to provide financing to ventures which are both economically viable and environmentally friendly. conclusion the growth potential of green technology in malaysia is boundless with the strong prospects to contribute significantly to the country ’ s transformation into a high value - added economy. there are large untapped opportunities in this sector and islamic financial institutions can allocate its resources into this segment to carve a niche market for islamic finance. on that note, i hope for this conference to become an impetus to spark greater interest from islamic financial institutions to further explore financing for green ventures and to generate new innovative islamic financial solutions for this viable and promising new growth area. bis central bankers ’ speeches

##416 million. the bis central bankers ’ speeches approval rate for the financing has also improved from 54 % in december 2012 to 59 % in september 2013, reflective of the positive reception of financial institutions towards green technology financing. the recipients of the financing facilities operate in a broad range of green technology sub - sectors that covers energy, buildings, transportation and water and waste management. this financing initiative has also contributed to increasing employment, with the generation of nearly 1, 400 jobs. the additional allocation of rm2. 0 billion of the gtfs therefore presents an opportunity for financial institutions, including islamic banks to further expand financing into this new and exciting area of growth. strong potential for islamic finance to support green technology this brings me to my next point – the role of islamic finance in contributing towards a diverse and robust financing ecosystem for green ventures. in the quran, verses 11 to 14 of al - fajr emphasise the need to care for the environment and the forms of life that allah has created on this earth that includes proper usage of natural resources. prophet muhammad ( s. a. w ), in a hadith in musnad ahmad mentioned that mankind would be rewarded for efforts in improving greenery ; making it incumbent on every muslim to contribute towards such efforts. in terms of the relationship between mankind and the environment, the teachings of islam basically promote preservation of natural resources and the need to respect all living things. failure to do so would be detrimental, as stated in verse 41 of al - rum where severe destruction of the land and sea would come upon those who mistreat the environment. it is therefore crucial for everyone, including islamic banks to consciously play their role towards ensuring environmental sustainability. achieving environmental sustainability is the responsibility of everyone and the banking industry must do its part. the role of islamic banks extends beyond being a component of a financial system, but as part of a total value - based social system that is driven by the principle of public interest or maslahah. this system seeks to enhance the general welfare of society. environmental protection and sustainability should be part of the islamic finance agenda to ensure the fulfillment and establishments of the spirit of islamic tenets. as the global economy is transitioning towards a low - carbon and more sustainable model, the industry can contribute immensely towards the greening of the world. islamic financing facility for green technology is another growth area worth engaging and with the necessary incentives and infrastructure in place, our islamic banks are capable of becoming a significant player. while the funding of