2012, scientists at the cern laboratory discovered the latest subatomic particle – the higgs boson – named after the nobel prize winner in physics peter higgs, and known by its nickname the “ god particle ” in popular media outside the scientific community. the higgs boson is thought to give everything else in the universe mass and to keep the universe from destruction. it is part of shiva ’ s tandava dance. is it a coincidence that the statue in front of the cern complex is none other than shiva nataraja – the dancing shiva? for many modern physicists, shiva ’ s tandava dance is seen as the dance of subatomic matter. the tandava thus unifies ancient mythology, religious art and modern physics. here at the central bank, some would say that our monetary policy is similar to the tandava dance, as we move our policy interest rate to destroy inflation, create the conditions for growth in the non - energy sector, and protect the foreign exchange market. or they might even say that the clico crisis has been a process of creative destruction, with the pain of thousands of policyholders making way for new and stronger insurance regulation and supervision. two weeks ago, professor angus deaton won the 2015 nobel prize in economics. professor deaton has changed our thinking about world progress. his popular book the great escape : health, wealth and the origins of inequality, traces the ways the world has gotten better over the last 250 years, as billions of people have become healthier and happier as gdp has grown. but he notes crises can interrupt progress, and he worries about the millions of people who are being left behind by this progress, especially in developed countries where inequality is growing and economic growth is slowing. professor deaton ’ s works reminds us that pain and gain are inextricably linked to creative destruction. hopefully, you will leave here tonight with a greater appreciation of the message of divali. remember the act of lighting a deya is creative destruction, destroying evil and darkness and creating a new opportunity for the satyam, shivam, sundaram ( truth, goodness and beauty ) of the universe to unfold. i wish you and your family shubh divali 2015. may your paths always be lit ; may your minds always be illuminated. i hope you enjoy lord shiva : creative destruction. bis central bankers ’ speeches

rasheed mohammed al maraj : prospects for the islamic financial industry against the background of the current global financial turmoil keynote address by his excellency rasheed mohammed al maraj, governor of the central bank of bahrain, at the aaoifi - world bank annual conference on islamic banking and finance, manama, 10 november 2008. * * * distinguished guests, ladies and gentlemen : it is a pleasure to participate in the opening ceremony of this conference and in the graduation ceremony for the “ certified shari ’ a adviser and auditor ”, and “ certified islamic professional accountant ’ programmes. in addition to congratulating the graduating students, i should like to thank the many distinguished speakers who will be appearing during the conference, as well as the event organisers. particular thanks are due to the world bank for their support for this event. against the background of the current global financial turmoil, it appears good time to take stock of the prospects for the islamic financial industry. in recent months, as the global financial crisis has deepened, there have been many commentators who have pointed to the relative success of the islamic financial sector. so far, islamic financial institutions have escaped relatively unscathed from the severe downturn which is affecting most conventional financial institutions. this certainly presents the industry with an opportunity to continue its successful growth of recent decades. because interest - based transactions are prohibited, islamic finance encourages business and trade activities that generate fair and legitimate profit. the prohibition on speculative activity also helps to ensure that there is a close link between financial flows and productive activities. these intrinsic properties of islamic finance contribute towards insulating it from the potential risks resulting from excess leverage and speculative financial activities. but while islamic financial institutions have been largely sheltered from the present crisis, there is no room for complacency. it is inevitable that they will be affected to some degree, as they are part of the wider global economic system. the effects of the global financial crisis on the real economy has the potential to transmit shocks to shari ’ a compliant institutions as well. this means that there must be a very high priority placed on sound management and risk management practices at islamic financial institutions. as i have pointed out in the past, the sensational growth of the industry in recent years, combined with high levels of liquidity, has meant that islamic banks have not needed to fight for funding or ideas. new entrants to the industry have merely tended to copy the strategies they see being successfully pursued by their more established rivals. as a