flows leave, a trail of destruction is left behind. we also learnt that proper sequencing and readiness of financial liberalisation is key. the criticism that asean ’ s ‘ steam engine ’ may not be ‘ full speed ahead ’ does not capture the full picture. this view fails to consider and understand that quality, not the speed and quantum of integration, is what really matters. the focus of integration should not be on speed, but on building the collective capacity, readiness and resilience of member countries. asean is committed to pursue market openness within this region, but also wants to remain deeply integrated within the global economy. a ‘ global asean ’ is not an oxymoron – rather it is a declaration of our inclinations, aspirations and direction for the future. rather than a narrow pursuit of openness for its own sake, experience taught us that balance, readiness and inclusiveness is critical for the success for an open market economy. as a group, asean has been very mindful of the stage of financial and economic development of individual countries. 1 / 6 bis central bankers'speeches asean pursues ‘ smart ’ integration that is based on the readiness and capacity of member countries. from the global financial crisis to the present we are now entering a decade after the global financial crisis ( more apt to be called trans atlantic financial crisis ) and two decades after the asian financial crisis. the implementation of unconventional policies and a prolonged period of low interest rates, led to financial and economic distortions, some severe, around the world. emerging markets, including malaysia, witnessed large waves of capital inflows into capital markets, primarily in search of better yield. for our onshore domestic market, we saw the ringgit strengthening following the demand for ringgit assets. between 2011 to 2013, the ringgit traded at its strongest levels since the asian financial crisis, between 2. 90 to 3. 30 against the us dollar. fx trading volume also increased, contributing to the overall liquidity of the onshore fx market. at the same time, the increased levels of non - resident investments in malaysian financial assets had pushed non - resident holdings of malaysian government bonds to rise to the height of 33. 6 % in may 2013. these heights came with costs, heightened risks and vulnerabilities. from the taper tantrum in 2013 onwards, our markets went through several bouts of volatility. these were largely driven by volatile portfolio flows. during the taper tantrum in 2013 itself, we saw out

transparency also facilitates information sharing and international cooperation to combat cross - border financial crimes. all stakeholders, including financial institutions, have a crucial role to play in assisting this endeavour. compliance officers, in particular, are entrusted with the gate - keeping role of ensuring that your respective entities adopt and implement practical and effective policies and procedures that help to detect, prevent and mitigate money laundering and terrorism financing risks. i am therefore pleased to see the participation of compliance officers from the different entities supervised by the central bank in today's session. this is an opportunity to enhance your knowledge on various topics, such as beneficial ownership disclosure standards and your respective institutions'aml / cft obligations. more importantly, you will be presented with the beneficial ownership guidelines - a new tool that outlines best practices and approaches to identifying and verifying beneficial ownership information of your legal entity customers. i hope you make the most of this training and also take the opportunity to share your experiences, ask questions, and engage with the facilitators and representatives of the supervisory authorities to boost your capabilities to further strengthen the compliance of your respective financial institutions. only through our combined efforts and dedication can we achieve the goal of having a robust and effective legal framework that aligns with international standards and protects the integrity of the country's financial system. on this note, i wish you all a fruitful training session. thank you. 2 / 2 bis - central bankers'speeches