weak corporate sector spending, limited government resources, and lingering global uncertainty. we note that there are regional and global arrangements initiated to deal with infrastructure financing, to name a few : the asian bond markets initiative ( abmi ) under asean + 3 cooperation, the asean infrastructure fund ( aif ) under asean cooperation together with adb, global infrastructure fund ( gif ) under the g20 cooperation. further in national level, government has also set aside the funding for infrastructure development. would all initiatives be sufficient? 10. let us look into this question. how much does asia need to finance its economy? adb estimates that over usd1 trillion must be spent on infrastructure to maintain asean ’ s current economic growth trajectory in a ten - year period. furthermore, it is also estimated that during the same period, asia will need to invest approximately usd8 trillion in overall national infrastructures for energy, transport, telecommunications, water, and sanitation. in addition, the region will need to spend approximately usd300 billion on regional pipeline infrastructure projects, involving physical construction works and coordinated policies spanning two or more asian countries as well as having a significant cross - border positive impact. 11. financially, the demand for cross - border and regional infrastructure funding often competes with funding for improved national infrastructure. the tremendous need on building infrastructure projects has resulted a large financing gap, or the difference between total financial requirements and the likely available financing through direct public resources. bis central bankers ’ speeches 12. on that note, it is inevitably we need to redouble the effort of financing for development. allow me to name a few options. private - public partnership ( ppp ) is an alternative solution to accelerate infrastructure development. while it potentially advances infrastructure investment, we should be mindful of its risk to fiscal position as ppp typically creates contingent for future liabilities. good projects have to be selected carefully. good governance and strong regulation enforcement are necessary. 13. furthermore, financial sector should definitely play an active role in financing for development. strengthening prudential and safeguarding measures should also complement this role. with its sound macroeconomic policies, rising middle - income, high saving, abundant labor resources, higher education level, and rapid technological adoption, asia has the right components for sustaining growth and attracting investment. 14. i am also of the view that promoting capital market development and reducing heavy reliance of bank - based financial intermediation are both urgent and essential. asia has embarked into this area by furthering its integration in financial sector

foreign exchange statistical database system, which is now being used to monitor and enforce repatriation of export proceeds to malawi. imports have grown phenomenally in the past three years due to increased demand for machinery and industrial raw materials, and most importantly, agricultural inputs particularly fertilizer. other imports have also registered a significant growth both in volume and value terms. this largely explains the depletion in the country ’ s foreign exchange reserves. these developments have necessitated a review of the exchange control regime. you will recall, ladies and gentlemen, that exchange controls in malawi pre - date our independence i. e. we had exchange controls before 1964 when malawi became independent. the exchange control act has, thus, undergone several reviews and repeals over the years to re - align it with dynamic macroeconomic developments and hence make it more relevant. ladies and gentlemen, let me mention that the exchange control manual being launched today, has been prepared to act as a guide to authorized dealer banks in dealing with exchange control issues. the manual also addresses the issue of completing relevant exchange control forms. these forms have been reviewed to conform to the 5th edition of international monetary fund ’ s balance of payments manual. bankers, importers and exporters will recall that we had numerous forms. these have now been harmonized and we are now talking of three only. the manual contains instructions on how authorized dealer banks should process exchange control applications for, among other things, advance payment for imports : you will recall ladies and gentlemen, that these have always been referred to reserve bank of malawi for approval. the reserve bank is now delegating this authority to banks to handle advance payment applications of up to $ 20, 000. anything in excess of that value will however be referred to the reserve bank of malawi for approval. authorized dealer banks will find the manual to be useful not only in distinguishing between current and capital and financial account transactions but also in determining the minimum that is required in support of exchange control applications. the manual also reflects a commitment by authorities to move from controls to a more liberal regime. you will note, ladies and gentlemen, that most exchange control transactions that hitherto required prior central bank approval no longer requires such action from the reserve bank of malawi. the manual also recognizes recent developments in the management of exports and export proceeds in malawi. it is, therefore, important that authorised dealer banks exercise due diligence in processing exchange control applications. authorized dealer banks should also ensure consistency and uniformity of policy implementation in carrying out