setting body, the ifsb, concerted global efforts have been directed towards the progressive implementation of the recommendations in the eight building blocks identified in the islamic finance and global financial stability report 2010. in particular, the efforts have been focused on the adoption and operationalisation of the prudential standards and the development of the potential for effective liquidity management as part of the efforts to safeguard financial stability. it is encouraging that there has been a higher adoption of the prudential standards issued by the ifsb, with implementation by 13 regulatory and supervisory authorities worldwide with indications that there are more in the pipeline. taking into account the distinct characteristics and specificities of islamic finance, the effective implementation of these standards will contribute towards maintaining the soundness and stability of islamic financial institutions. liquidity management in the international islamic financial system has also been strengthened with the establishment of the international islamic liquidity management corporation ( iilm ) in 2010 that will contribute towards facilitating efficient liquidity management and cross - border flows by islamic financial institutions. on the domestic front, in malaysia, the upcoming issuance of a ringgit denominated mudharabah certificate for bis central bankers ’ speeches liquidity management purposes by the central bank is the introduction of a new profit sharing instrument that is expected to contribute towards increasing the range of instruments in the global islamic short term securities market. with returns that are linked to the performance of the underlying asset and tradability in the secondary market, it is expected to draw significant interest of international investors. moving forward : transformative changes to grow beyond numbers the efforts taken to strengthen the global financial infrastructure of islamic finance thus far have provided a solid foundation for the growth and internationalisation of the industry that is underpinned with soundness and stability. while the rapid growth of islamic finance, attests to its resilience and competitiveness, the challenge before us is also to enhance its capacity to contribute towards inclusion and more balanced economic growth. statistical numbers and projections are important performance indicators and benchmarks for the industry. however, the growth of the industry has to extend beyond the numbers to sustain its growth momentum. this is of particular importance in today ’ s environment of growing global uncertainties and when considerations that prioritise the linkage of finance to the economy, justice and fairness, and sustainability and inclusion and which have been regarded as essential elements of a modern financial ecosystem. islamic finance, with these inherent features and ethical dimensions, therefore has an immense potential role as a transformative agent in the

economy, particularly in serving the requirements of the real economy and the broader society. of importance is thus the role of the global islamic financial marketplace in facilitating greater linkages with the real economy and inclusion and thus balanced growth. in evolving into the next growth phase, it remains an imperative for the islamic banking industry in the global marketplace to reinforce meeting the very objective of its existence as an effective form of financial intermediation that serves the real economy and that complies with the requirements of the shariah. as an extension to this, islamic banks have the potential to extend its role to also include the role as an investment intermediary. this would require the diversification of banking business to expand beyond credit intermediation to investment intermediation, in which the alternative modes of risk sharing contracts can be applied. in performing investment intermediation, islamic banking institutions not only strengthen further the linkage of finance and real economic activity, but also contribute towards more inclusive and more balanced growth. in the malaysian islamic finance marketplace, the changes associated with the modernisation of laws facilitate the maturing of the islamic finance industry, with the enactment of the new act in 2013. it includes new provisions that strengthen the potential role of islamic financial institutions as investment intermediaries for risk - sharing to effectively take place. legal recognition of investment accounts provides differentiation from deposits, which thereby opens up the avenue for islamic financial institutions to further explore the various modes of operationalising such investment accounts. in advancing this quest, technological advances need to be leveraged upon to develop new innovative platforms that can facilitate the implementation of investment accounts. aimed to assist islamic financial institutions in performing this investment intermediary function more efficiently, a multi - bank platform is currently being developed in malaysia to effectively and efficiently match funds from potential investors with industries and ventures in the real sector. the platform would facilitate efficient mobilisation of private sector funds, both from individuals and corporates to finance targeted industries and ventures that are in need of funding. the platform would also be positioned to spur international connectivity as its outreach will also extend to international participation from foreign islamic financial institutions and investors, through the offering of multi - currency financing options for foreign projects. the potential for islamic banks to progressively chart into this new territory would need to be supported by a state of readiness in terms of the capabilities of the industry to venture into a bis central bankers ’ speeches diversification into such business offerings. in preparing for a business landscape with different complexities, talent development in