suhaimi ali : opening remarks - open finance conference and workshop opening remarks by mr suhaimi ali, assistant governor of the central bank of malaysia ( bank negara malaysia ), at the open finance conference and workshop, kuala lumpur, 29 october 2024. * * * it is a pleasure to be here today at the open finance conference and workshop. today's event is an important milestone in our open finance journey, as we seek to turn into reality the vision and aspiration we have to advance the development of an open data ecosystem for the financial sector as set out in the financial sector blueprint 2022 - 2026. open finance, and more broadly, open data, is an important priority for us given the realities of our operating environment and the world we live in today. as more transactions move to the digital sphere, so does data. with this, there is growing recognition of the criticality of key infrastructures that store, share or synthesise these data which are the foundation for realising a digital economy. open finance can help support this by giving customers the right to exercise control over their personal data and establishing a trusted, secure and structured environment to do so. the open finance conference and workshop today is also timely following recent passage of the personal data protection ( amendment ) bill 2024 in parliament. the pdpa amendment act introduces, among others, the right to data portability. both customers and the financial sector stand to benefit from open finance. by providing the tools for customers to exercise control over their personal data through a customer - permissioned, trusted, secure and structured environment, we believe that this can in turn lead to new product possibilities and solutions. these include datadriven innovations that promote greater financial inclusion and empower consumers to make better - informed decisions about their finances. this is a vast opportunity for financial institutions and other players, such as fintech companies, to serve. indeed, we believe that open finance will allow the industry to stay ahead in an increasingly competitive and fast - moving world in meeting the expectations of consumers for more transparent and innovative solutions that fill their needs. with this in mind, bank negara malaysia is encouraged that paynet has stepped up to drive the development and implementation of the infrastructures and common technical standards for open finance. bank negara malaysia will also work closely with paynet and the industry in delivering the intended vision for open finance by putting in place an enabling regulatory environment that will support the financial sector's state of readiness for open

the aftermath of the crash of 1929, it simultaneously sterilized the resulting large gold inflows. in 1931, to counteract the outflow of gold ( due to the u. k.'s decision to leave gold ), the fed sharply raised its rediscount rate. this effort to maintain confidence in convertibility resulted in considerable monetary tightening and, consequently, a further wave of bank failures in the ensuing six months. article iv ( iii ) states that members should " avoid manipulating exchange rates or the international monetary system in order to prevent effective balance of payments adjustment or to gain an unfair competitive advantage over other members …. ". unfortunately, this trend has been far from universal. in many respects, the recent crisis represents a classic example of asymmetric adjustment. some major economies have frustrated real exchange rate adjustments by accumulating enormous foreign reserves and sterilizing the inflows. while their initial objective was to self - insure against future crises, reserve accumulation soon outstripped these requirements ( table 1 ). in some cases, persistent exchange rate intervention has served primarily to maintain undervalued exchange rates and promote export - led growth. indeed, given the scale of its economic miracle, it is remarkable that china's real effective exchange rate has not appreciated since 1990 ( chart 2 ). this flip side of these imbalances was a large current account deficit in the united states, which was reinforced by expansionary u. s. monetary and fiscal policies in the wake of the 2001 recession. in combination with high savings rates in east asia, these policies generated large global imbalances and massive capital flows, creating the " conundrum " of very low long - term interest rates, which, in turn, fed the search for yield and excessive leverage. while concerns over global imbalances were frequently expressed in the run - up to the crisis, the international monetary system once again failed to promote the actions needed to address the problem. vulnerabilities simply grew until the breaking point. some pressures remain. the financial crisis could have long - lasting effects on the composition and rate of global economic growth. 8 since divergent growth and inflation prospects require different policy mixes, it is unlikely that monetary policy suitable for united states will be appropriate for most other countries. however, those countries with relatively fixed exchange rates and relatively open capital accounts are acting as if it is. if this divergence in optimal monetary policy stance increases, the strains on the system will grow