whole in the long run. these elements are important for achieving a process and outcomes that will be sustainable. the modernization of asian financial systems during this period has also been accompanied by significantly strengthened regulatory and supervisory frameworks, improved financial safety nets, more effective surveillance of financial stability risks and stronger legal underpinnings. these reforms supported the transition towards more market - oriented financial systems that are anchored in stronger institutions, risk management capacity and governance. today, our financial markets are better able to intermediate volatile financial flows and our financial institutions are supported by stronger financial buffers to withstand adverse developments and shocks. significant strides also continue to be made in strengthening consumer protection frameworks, promoting financial inclusion, and enhancing market discipline. these developments continue to support the region through the recent episodes of turbulence in the global financial markets. the region has also made important strides in enhancing monetary and financial cooperation arrangements to address regional financial stability issues and global policy spillovers. much has been accomplished in the areas of surveillance arrangements, financial safety nets and crisis prevention, management and resolution. we have already experienced the important benefits of having these arrangements in place as the region came together to respond where needed to events that were unfolding during the global financial crisis. the authorities in the region remain committed to build on these foundations to bring regional cooperation to higher levels not only to reap its benefits but to also preserve financial stability in the region. in this effort, the current priorities for cooperation include improving information flows on risk assessments ; advancing regional financial infrastructure and capacity building ; and providing a regional voice on key international developments that may affect the region. as financial integration gains pace, the demand will increase for greater convergence in regulatory and supervisory approaches and standards, including their implementation across borders. an important objective of such regulatory convergence is to ensure that crossborder financial linkages act to foster regional growth, while mitigating the propagation of systemic risk across borders through such linkages. the convergence of standards has proceeded in different ways in different parts of the world. in europe, regulatory convergence has been driven by eu - level bodies and agencies, including the european system of financial supervisors and the european systemic risk board. the eu - wide prudential rules are formulated and implemented through directives and regulations legislated by the european parliament and european council, with limited room for member states to apply “ national discretion ”. recent proposals to establish a single supervisory mechanism for banks led by the european central bank, and a single resolution mechanism, will further bis central bankers

demand new expertise and skills. indeed, there will be an increase in demand for adequately qualified professionals. in this environment, the creation of a substantial pool of talent and expertise is thus indispensable for the future growth of islamic finance. strengthening research and development capabilities is also important for enhancing the capacity for innovation to meet the diverse requirements of the rapidly changing global economy. the establishment of the international centre for education in islamic finance thus comes from the recognition of this need to invest in human capital to advance the industry forward to greater heights. bank negara malaysia has allocated an endowment fund of rm500 million for this purpose. the income from the endowment fund will be utilised to finance the operations of inceif. the objective of inceif is to produce high - calibre practitioners and professionals in islamic finance as well as specialists and researchers in the disciplines of islamic finance. inceif will leverage on the wealth of experience of the islamic finance industry, both in malaysia and abroad, to provide its graduates with value added insights and perspectives, in particular for their research programmes. malaysia's experience in islamic finance for over more than two decades will also provide a training environment, including for internships for developing islamic finance professionals. the required skill set in islamic finance is unique. it needs to have the right blend of knowledge of finance with the understanding of the shariah as being central. the shariah principles must be embedded in every operational aspect of the islamic financial institution, including in the design of financial products and financing structures, financial contracts and their execution, liquidity and balance sheet management, risk management as well as asset and wealth management. the upholding of the shariah principles must permeate from the highest level, including at the broad and senior management levels. sound policies and practices premised on shariah principles will evolve the islamic financial system into a financial system that is distinctively ethical and that which promotes economic justice. in meeting this objective of providing a total talent management solution for the islamic financial services industry, inceif will offer the world's first certification on islamic finance, the certified islamic finance professional ( cifp ) programme. the cifp modules to be offered has been designed by renowned experts of their respective fields and have been developed in full consultation with local and international industry players in order to ensure their relevance to the requirements of the industry. following the launch of the inceif today, the programme will be open for registration. classes for the first