##as members from over ten countries. of course, there are other areas of collaboration that can benefit both markets and where hong kong can leverage on us given the experience we have gained over the years. examples include using the kuala bis central bankers ’ speeches lumpur regional centre for arbitration that offers services as dispute resolution for islamic financial contracts ; hong kong issuers tapping the ringgit sukuk liquidity for cost - effective pricing given the depth of the sukuk market in malaysia ; as well as enhancing knowledge and expertise in islamic finance through our higher learning education centres such as the international centre for education in islamic finance ( or inceif ). forward - looking scenario – a common trading platform for sukuk future growth prospect for the sukuk market is tremendous. growth is expected to come from the gcc and asian regions as infrastructure projects are estimated to be usd2 trillion and usd8. 3 trillion respectively till 2020. hong kong, with its sizeable bond market to gdp of 72 % can play a role in funding these projects. moving forward, more efforts are needed towards developing financial inter - linkages between our two markets. one area is for our financial communities to explore a common sukuk trading platform for cross - border transactions. a common platform that incorporates international standards and best practices in all aspects of the sukuk trading is key to instil confidence in secondary markets. it can also increase cross - border activities. it has the potential to spur further diversification of product offerings, reduces cost of intermediation and boosts trading activities. this common platform would give both the hong kong and malaysia financial markets the added critical mass for sukuk and boost liquidity in the secondary market, thus contributing towards the development of a global islamic money market for a more efficient cross border liquidity management. the benefits that can be realised from the cooperation between our two markets are enormous. on that note, i wish to thank hkma for hosting this joint conference and i bid the participants a productive endeavour. bis central bankers ’ speeches

the arbitral tribunal has to form an opinion on a point related to shariah principles. thirdly, is to develop a strong governance framework for islamic financial institutions. we introduced a dedicated governance framework in 2010 that outlined the requirement for the shariah governance structures, processes and arrangements to ensure that all the operations and business activities are in accordance with shariah. this framework ensures that talent in lead arranging of sukuk, among others, have the expertise and shariah knowledge to ensure that the sukuk structures are in compliant with the necessary rules and principles. areas of collaboration between hong kong and malaysia there are a few areas where hong kong and malaysia can collaborate for mutual benefit. firstly, is to have both hong kong and malaysian expertise to work together in the quest to launch the first sukuk out of hong kong. we look forward to sharing our islamic finance marketplace with hong kong in terms of expertise in structuring, managing and distributing the sukuk, as well as providing advice on legal and shariah matters. in addition, malaysian issuers can tap into the renminbi and dollar liquidity in hong kong. past track records of the two renminbi sukuk issuances by malaysian entities, khazanah and axiata, had shown strong interest from hong kong investors, with subscriptions for both sukuk at 55 % and 26 % respectively. secondly, is to initiate a dual listing for the sukuk on bursa malaysia and the hong kong exchange to capture greater profiling, visibility and transparency in the bond market for the asian investors. thirdly, is to set up more global sukuk funds on a mutual cooperation basis to provide the buy - side support. funds can tap the existing mutual recognition agreement ( mra ) between the securities commission of malaysia and the securities and futures commission of hong kong as a platform for both jurisdictions to distribute islamic investment products to benefit investors in each other ’ s market. fourthly, to bridge the gap in the availability of islamic assets in hong kong, potential sukuk issuers may leverage on malaysia ’ s end - to - end shariah - compliant commodity murabahah platform, the bursa suq al sila ’ ( or b – sas ) for their fund raising exercises. with an average daily volume traded of usd1. 5 billion, issuers can utilise this 24 / 7 web - based multi - currency facility through the bs