. some central banks, for example bank of norway and bank of sweden, go further and show projections of intended policy rates into the future with the aim of enhancing credibility and transparency of monetary policy. studies of forward guidance suggest that the practices do influence markets rates in the desired ways, though there are also cases – notably in sweden – where market rates do not seem to align well with the announced policy intentions. there is by now a fair amount of empirical experience with unconventional monetary policies and there are several studies of their impact on the economy. further studies are, however, warranted as unconventional policies are likely to stay in the tool kit of monetary policy and they may well be needed at times in the future. to this end i must note that the crisis is far from over and interest rates may stay at very low levels for several more years. this is so even if plans for exit from the low - rate regime are occasionally discussed. we must also recall the japanese experience. bank of japan has kept the interest rates very low and has at times engaged in unconventional policies during the past fifteen years or so. iii. remarks on exit from current stagnation i next want to make other remarks about the regime of effective lower bound for interest rates and of unconventional monetary policies. it is often suggested that the policies of central banks and governments have rescued western market economies from a far worse outcome than the great recession of 2008 – 9. fiscal policy accompanied the strong monetary policies. a second case of unprecedented monetary policy action has been the recent massive 3 - year liquidity provision by the ecb. the latter measure was designed to counter the freezing of credit markets in the euro area. in this latter case, there was no accompanying fiscal policy. looking at the current mix of policies, the general picture is that central banks in many advanced market economies continue to have policy interest rates near or at the effective see e. g. gertler and karadi ( 2012 ) and the references therein. bis central bankers ’ speeches lower bound and unconventional policy measures are applied occasionally if a recovery is at risk to falter. in contrast, fiscal stimulus is no longer applied or its scale has been reduced in most countries. this state of affairs has two consequences for the changing role of central banking. first, the mix of macroeconomic policies is placing the main responsibility to central banks for achieving more satisfactory macroeconomic developments. this situation and the use of unconventional policies are straining the conventional boundary between monetary and fiscal policy. large - scale

muhammad bin ibrahim : building on the past, investing in the future remarks by mr muhammad bin ibrahim, governor of the central bank of malaysia ( bank negara malaysia ), at invest malaysia kuala lumpur 2017 " building on the past, investing in the future ", kuala lumpur, 25 july 2017. * * * thank you for the opportunity to speak here today at invest malaysia kuala lumpur. it gives me a chance to share a few words on the malaysian economy and financial markets. malaysia as a nation has forged strong ties with investors over a century. in fact, malaysia ’ s relationship with foreign investors is older than the inception of the country. for example, hsbc, shell and nestle have been in malaysia for more than a hundred years. this year marks the tenth year since the global financial crisis, which should more appropriately be called the trans - atlantic financial crisis since it did not directly impact asia at the time. closer to home, around 10 years ago, we created the northern corridor economic region. today, the northern corridor is a success story, with the highest number of approvals for manufacturing investments. let me share 10 facts on malaysia to showcase our ever - thriving symbiotic relationship with investors. three key things on the malaysian economy : i. malaysia ’ s openness to foreign investment and trade, ii. the country ’ s bright growth prospects ; and iii. our drive and agility for change to always remain relevant and competitive malaysia has always been open, friendly and fair to foreign investors. malaysia has always been open, friendly and fair to foreign investors. foreign investment in malaysia dates back to more than a hundred years ago. in fact, foreign investors have been major partners of our economic growth. foreign investment had contributed significantly towards the expansion of the country ’ s manufacturing sector, the creation of employment and the birth of economic hubs. today, foreign investors remain key allies in our quest to become a high income nation. periodic reviews and dismantling of burdensome regulations have been our ethos. in 2009, we reduced barriers for partnership with local companies and liberalised 27 service subsectors. since then, at least 15 more subsectors have been liberalised. these measures have boosted investments in many corridors around malaysia. malaysia is a profit centre with no restriction in repatriation of profits even during difficult times. foreign investments have indeed yielded significant returns for investors. returns on fdi have grown by an average of 13 % per annum, higher than malaysia ’ s