abdul rasheed ghaffour : launch of the malaysian insurance institute brand refresh keynote address by mr abdul rasheed ghaffour, governor of the central bank of malaysia ( bank negara malaysia ), at the launch of the malaysian insurance institute brand refresh, kuala lumpur, 18 september 2024. * * * assalamualaikum and a very good morning. distinguished guests, ladies and gentlemen. i am honoured to be here today to witness the rebranding of the malaysian insurance institute to the asian institute of insurance ( aii ). having once served on the board of aii, i am proud to be part of this historic occasion. since its establishment in 1968, close to 10, 000 insurance and takaful professionals have benefitted from internationally recognised training and qualifications delivered by aii. this remarkable feat underscores aii's integral role in the development and modernisation of the insurance and takaful sector not only within malaysia, but also across the region. let me start by briefly highlighting the performance of the insurance and takaful sector. compared to last year, new business premiums in the life insurance and general insurance industry recorded double - digit growth in the first half of 2024 to more than rm20 billion. similarly, the family takaful and general takaful industry also showed strong growth to record total contributions of over rm7 billion. the malaysian economy continued to expand, with the economy growing by 5. 9 % in the second quarter of 2024, supported by resilient domestic demand and recovery in external demand. importantly, our longer - term prospect is equally bright, as investments rebounded strongly in what is being described as a new'investmentupcycle '. from the e & e sector to infrastructure projects to renewable energy, there are clear prospects for private and public investments to be sustained going forward. these quality projects will contribute towards higher productivity, greater economic complexity and, ultimately, high - income jobs for malaysians. nevertheless, to realise our full economic potential, it is important that we remain resilient to shocks and disruptions and continue to put risk management at the top of our agenda. this is where insurance and takaful protection can play its part – one that will foster greater stability and resilience in our economy. ladies and gentlemen, the malaysian insurance and takaful sector is at a pivotal point. we have observed evolving trends and developments, and are also part of the dynamic asian

third, creating a more inclusive insurance ecosystem. by enhancing financial and digital literacy, particularly among the unserved and underserved segments, industry players help ensure all malaysians have access to the protection they need. 4. fourth, as we continue to advance towards deeper regional integration, insurers and takaful operators must remain ever - ready to respond to, and serve the needs of the region, ensuring that their offerings resonate with the diverse communities and contribute to sustainable economic growth of the region. we cannot overlook the importance of public - private collaboration in these areas. the synergy created from such partnerships can strengthen the contributions from the insurers and takaful operators. these could take the form of development of sophisticated risk transfer solutions that can manage large - scale and emerging risks that are beyond the capacity of individual institutions. at bank negara malaysia, we are actively laying the foundation for a competitive, efficient and inclusive protection landscape. this involves driving meaningful initiatives to modernise the existing regulatory framework, making it more principles - based while opening avenues for insurance and takaful operators to innovate and test new solutions. guided by the principles of parity, proportionality and neutrality, we have refreshed our regulatory sandbox and introduced the licensing and regulatory framework for digital insurers and takaful operators. these steps are designed to 3 / 5 bis - central bankers'speeches help the industry deliver strong and meaningful value propositions that support the goals of inclusion, competition and efficiency. to complement this front, we continue to strengthen our regulatory framework to uphold sound financial and business practices. this includes enhancing the policy document on responsibility mapping and raising standards on the professionalism of insurance and takaful agents. i believe that these policies are integral not only to improve the oversight and governance of insurers and takaful operators, but to also inspire public confidence in the integrity of the agency workforce as a trusted and reliable channel for distribution of insurance and takaful products. for many, their first contact with insurance would have been through an agent - initiated meeting. for this reason, agents need to be competent, qualified and act professionally in the best interest of customers at all times. beyond this, we strive to make critical protection solutions more accessible and targeted. as one of the countries with the highest cost of private medical care in southeast asia, an important priority for us at the bank is to improve access to affordable insurance and takaful coverage through the revised policy document