to counter the risks of money laundering and terrorist financing, rather than merely looking at technical compliance. this is indeed very relevant to the theme of this year ’ s conference “ raising the bar in compliance and enforcement ”. as malaysia ’ s aml / cft regime grows in maturity, the benchmark for compliance by financial institutions will be measured more in terms of its effectiveness in deterring and preventing financial crimes before they occur, and in effectively supporting the relevant law enforcement agencies to bring the perpetrators to justice when such crimes happen, despite our best efforts. in this regard, i urge the industry to take advantage of the knowledge and experience of the panel of experts assembled here at this conference, to better understand and prepare for the implications of the review of the fatf 40 + 9 recommendations, and the expectations on financial institutions and boards of directors moving forward. for bank negara malaysia, the enhancement to the nation ’ s infrastructure to combat financial crimes will remain as one of our key priorities. in this regard, our role as malaysia ’ s primary financial regulator will continue to focus three broad areas. the first is to deter and prevent criminals from abusing the financial system to be the conduit for illegal activities by ensuring the continued effectiveness of malaysia ’ s legal and other relevant infrastructure, systems and processes in combating financial crimes. secondly, is to ensure all financial institutions continue to strengthen their defences against such threats and risks via our regulatory policies as well as risk - based supervisory and surveillance activities ; and thirdly, to strengthen collaboration between the financial industry with other domestic and international stakeholders in aml / cft initiatives to protect the integrity and stability of our financial system, including implementing capacity building programmes, such as this conference. while the financial sector has, over the years, strengthened its risk management and control functions to combat financial crimes, a higher degree of emphasis and attention by senior management and the board, on issues relating to aml / cft, can further improve the standards of compliance and the effectiveness of measures put in place to fight against money laundering and terrorist financing. we also observed that financial institutions exhibiting effective defences against financial crimes shared four common attributes in their aml / cft framework. these are : ( i ) well developed and clearly articulated policies and procedures ; ( ii ) effective governance structure, particularly on the compliance function ; ( iii ) incorporation of aml / cft compliance assessments in the audit and capacity development programmes ; and ( iv ) increased and effective use of information technology and management

benefits to about 700, 000 beneficiaries and their dependents. similarly, the workers welfare fund provides social security support to workers and their families. moving ahead despite the progress made during the last five years the challenges ahead remain daunting. to meet these challenges and the mdgs by 2015, pakistan remains committed to keep the momentum of structural reforms high, to maintain prudent macroeconomic management, to further reduce the debt ratios to keep the current account in balance to improve revenue performance without any relaxation of fiscal stance but to expand education and health services. the thrust of the monetary policy would be not to allow inflationary expectations to become entrenched while providing credit and liquidity to private sector. the efficiency of the energy sector will be enhanced by privatizing the distribution companies encouraging private investment in low cost generation projects and laying cross border gas pipeline. the efforts to attract foreign direct investment particularly export oriented industries and services will be stepped up by further improving the business climate and governance. the judicial framework will be strengthened to enforce property rights and contracts. investment in human capital to upgrade the quality of labor force and improve the opportunities of employment for the poor would remain a priority. the quality of institutions will be improved through reforms of civil service and law enforcement agencies. the current policy stance of an open trading regime with low tariffs and non - existent non - tariff barriers, a liberal foreign investment environment with no restrictions or prior approvals of any kind, a market - based financial sector working under competitive structure, a dynamic private sector producing goods and services with an enabling public sector providing infrastructure and social services will remain in place.