with this, but i think it would be hard to deny that a shake - up of the industry is already present. to some extent, the finance industry has been responding. total it spending is estimated at over $ 200 billion every year across the regions of north america, europe, asia pacific and latin america. in 2016, a single global bank spent $ 9. 5 billion, or 16 % of its expenses on technology. the impact of these investments are becoming increasingly visible – banking without branches, investing without brokers, paying without paper. technological advancements are also redefining the landscape of finance in ways that we are only beginning to understand. distributed ledger technology offers the potential to transform longstanding practices in areas such as correspondent banking, trade finance and remittances. big data analytics continues to uncover new ways to understand and access untapped markets. innovations in mobile technology are also challenging the status quo, particularly in the area of payments. alipay and tenpay quickly come to mind as examples of companies that took a single 1 / 5 bis central bankers'speeches mobile app and went on to build an international ecosystem from scratch. these trends are now increasingly commonplace across the globe, driven by a multitude of factors – from the drive to improve efficiencies, deliver a superior customer experience, break into new markets, or combat fraud. in the face of these tectonic shifts, most of us are finding ourselves in unchartered waters. within the central bank, we are doing work across a range of issues that we believe will be important to inform our thinking on digital developments, both in the financial sector and the broader economy. within your own institutions, i trust this is also the case. in that sense, we share a common interest – to keep our sights fixed on the future so that we can step forward confidently. with that in mind, today i would like to touch on four areas of particular relevance as we navigate this digital world : first, the role of digital leadership ; second, ensuring the quality of growth in the financial sector ; third, future - proofing the workforce ; and fourth, preparing our society for digital finance digital leadership in the face of changing market dynamics let me turn first to digital leadership. strong digital leadership starts with an acceptance of a new normal. historically, finance has been a close - knit community. but the barriers to entry are being lifted by technology. as i alluded to earlier, this has blurred the boundaries of what

jessica chew cheng lian : digital developments in malaysia's financial sector and the broader economy opening address by ms jessica chew cheng lian, deputy governor of the central bank of malaysia ( bank negara malaysia ), at the asian banker digital finance convention 2018, kuala lumpur, 22 march 2018. * * * it is my great pleasure to be here today at the 2018 asian banker digital finance convention. many of us here would remember what a “ kodak moment ” is. i believe the term for that these days is “ insta - worthy ”. kodak ’ s story is a familiar one, now infamous as a classic case of digital disruption. at the turn of the century, film was still very much the technology of choice. but within years, the digital camera quickly took over the mass market, eventually putting kodak out of business. and the story does not end there, as we all know. very soon, most people were taking pictures with their phones instead. this may be an old cautionary tale, but its message continues to be relevant. the digital revolution is real. it is inevitable. and it is pervasive in ways that change the way we live today, and in ways we cannot yet imagine. at its most fundamental level, perhaps the most significant change brought about by the digital revolution has been the change in paradigm. by this, i mean the basic assumptions that shape our thinking – whether in a business, social or political context. in the world of finance, some of the questions being asked today are : what makes a bank a bank? will digital currency ever replace central - bank issued money? or more likely, will central banks issue their own versions of digital currency and in the process, disintermediate banks? are banks selling financial products, or are they offering a lifestyle, opportunity and the freedom to pursue a new and different path in life? what business are banks really in? when everyone stopped using film in cameras, one wonders if kodak realised that it was actually in the business of capturing memories. or when smartphones burst into the mobile handset market, did nokia realise that their business was not selling mobile handsets, but connecting people with the world around them? three years ago, mckinsey predicted that technological advancements will redefine the landscape of finance, and then went on to argue that incumbents had – at most – a brief window of five years to adapt or risk becoming obsolete. you may or may not agree