finance and sustainability agenda. the isdb's strategic realignment 2023 - 2025, specifically on " driving green economic growth ", aligns well with our value - based intermediation framework and is empowered further by our national economic masterplans, the national energy transition roadmap ( netr ). we would also like to welcome greater engagement from multilateral development banks such as the isdb to participate in providing financing and critical expertise in the area of sustainable development in malaysia, particularly in green finance and sustainability. on that note, i am pleased to share that bnm is now providing regulatory flexibility for multilateral development banks to issue ringgitdenominated sukuk and to provide ringgit financing to resident entities in malaysia without the need for prior approval from bnm. these foreign exchange policy flexibilities, as a package, are expected to reduce the concern of foreign exchange mismatch for both the lender and the borrower. 2 / 4 bis - central bankers'speeches second, innovation and conducive market access at the core of partnership. through innovative pilot projects such as a blended financing programme tailored for halal market players, our partnership could further capitalise on emerging global opportunities and evolving market needs. potential collaborations could open the doors for competitive cross - border halal businesses in the oic market. at the same time, it provides opportunities for cross - border trade facilitation for islamic banks across jurisdictions, supported by diverse shariah contracts available to cater for niche funding needs. the opportunities are bountiful. of equal importance, conducive market access should also be pursued to enable better investment flows and economic integration. this could be made possible by proactively addressing cross - border barriers and harmonisation of practices, aiming to drive sustainable development in malaysia and the broader islamic world. third, capacity building to future - proof talents in islamic finance. investment in human capital development is a pivotal strategy for fostering long - term growth in islamic finance. in malaysia, we have a robust capacity - building ecosystem such as professional qualification and certification programmes – to name a few ; we have the chartered professional in islamic finance ( cpif ), certified shariah advisor ( csa ) and certified shariah practitioner ( csp ). even for financial markets, part of the modules for the financial market certification, essentially the license to become a money market dealer, includes an islamic money market module. while some of these cater to the

constitutes 46 % of total financing3. we are also grateful that our islamic capital market ( icm ) experienced substantial growth and remains a key component of the malaysian capital market, contributing 63 % to its total size4. 1 / 4 bis - central bankers'speeches isdb, on the other hand, stands as a beacon of progress, embodying a commitment to fostering economic development and social progress in its 57 member countries and muslims worldwide. a prominent issuer of high - quality sukuk with a broad investor base, isdb deploys the proceeds of its sukuk to fund programmes that help shape the future of islamic banking, benefiting a diverse portfolio of development projects and enriching markets. in malaysia, the isdb has made significant strides, leaving a positive and lasting footprint. in fact, bank negara malaysia ( bnm ) has long been an investor in the isdb public sukuk issuances and remains a major investor today. one particular success story is also the international islamic liquidity management corporation ( iilm ), in which both bnm and isdb played key foundational roles during its establishment alongside several other central banks. iilm facilitates cross - border liquidity management among global financial institutions through the issuance of highquality, short - term usd sukuk. today, iilm has successfully established a track record and has issued a cumulative over usd100 billion short - term tradable usd sukuk5. it is now looking at its next development phase, scaling up to meet the ever - growing demand for short - term paper in the islamic financial market. three critical impetuses to further unlock malaysia - isdb potential synergy in islamic finance in light of the success stories that we share, malaysia looks forward to further bolstering our partnership potential in islamic finance. i would like to propose three critical impetuses for this : first, strategic alignment is driven by aims to advance the ummah. identifying common priorities for the isdb and malaysia will enable us to channel resources and focus efforts more effectively. the signing of the murabahah master agreements today marks another milestone in achieving this, building upon a memorandum of understanding in 2021 between the government of malaysia and isdb to cultivate cooperation on islamic finance and related domains. it is instrumental in facilitating a deeper understanding of each other's investment preferences and risk appetites, paving the way for mutually beneficial investment linkages. another shared priority is our respective focus on green