sovereigns, development institutions and corporations of capital deficit countries have the option of raising islamic financial instruments in capital surplus countries through the islamic financial intermediaries. significant economic benefits will arise from the strengthening of these inter - linkages. the expansion of inter - linkages of intermediation and markets among these regions would lead to a more efficient allocation of capital and thus enhance the prospects for strengthening further the growth performance. it also offers enhanced opportunities for raising financing and would also facilitate greater risk diversification. in particular, the strong growth performance in these regions create a significant potential demand for financial instruments that conform to the islamic injunctions. these dynamic regions can therefore be expected to contribute towards accelerating the expansion of islamic finance in the international financial system. indeed, these trends will also contribute towards promoting a more balanced global growth. the participation in the islamic finance intermediation process would require the development of a comprehensive and well established islamic financial system, a wide range of products and services ; a good legal system, adequate financial infrastructure with competitive tax structures, low cost of doing business, high standards of business ethics, and conducive living conditions and cultural offerings. it would also need to be supported by adequate human talents that would drive the business and spur innovation. in addition, a strong regulatory regime in the islamic financial system would be another pull factor. more recently, the regulatory regime in islamic finance has been further reinforced by rapid progress on the issuance of prudential and supervisory standards by the islamic financial services board ( ifsb ). fund raising, investments and risk diversification are essentially complex transactions. these transactions are highly dependent on financial markets that are well regulated and capable of evolving to meet the emerging new challenges and the changing market needs. finally, the potential for the markets to function efficiently would be enhanced if the financial market is developed in an environment that enjoys financial stability, monetary stability and sustained economy growth. the mifc initiatives to enhance the inter - linkages in the global islamic financial markets, malaysia is continuing its efforts to not only develop further the islamic financial infrastructure but to also implement measures and initiatives that will strengthen our position as an international islamic financial hub. the malaysian government is therefore launching an initiative known as the malaysia international islamic financial centre or mifc. the mifc initiative is specifically undertaken by the collective efforts of the country's financial and market regulators, including bank negara malaysia, securities commission, lofsa and bursa malaysia, together with the participation of the industry representing the

jessica chew cheng lian : opening remarks - national resolution symposium opening remarks by ms jessica chew cheng lian, deputy governor of the central bank of malaysia ( bank negara malaysia ), at the national resolution symposium, kuala lumpur, 18 october 2023. * * * it is my great privilege to be here this morning. i would like first of all to congratulate the board and management of pidm for organising this important event. much like pidm's metaphoric umbrella, resolution frameworks and systems are not something many pay close attention to, and would much rather leave aside, when the weather is fine. but when storms blow, we fervently hope they work. this symposium is a timely reminder to examine our umbrella and make sure it works. globally, financial industry players and regulators have long understood the importance of a good resolution regime. bank failures in the us during the great depression of 1929 underscored the need to preserve public confidence in the domestic banking system – leading to the formation of the federal deposit insurance corporation or fdic. fast forward 75 years into the highly connected modern financial system that we live in, and we have the widespread contagion of the global financial crisis that taught us that resolution schemes cannot be designed in isolation, but requires a broader international solution. since then, the financial stability board has played an active role in establishing and advocating international standards to fortify the resilience of banking systems worldwide – a centrepiece of which is the key attributes of effective resolution regimes. malaysia has embraced these standards, recognizing the exceptional times we are living in, and the considerable financial stability risks that they pose. building resilience against these risks entails both promoting sound financial institutions that are less likely to fail through strong regulation and supervision on the one hand, and protecting the system when financial institutions do fail, by strengthening our capacity to deal with failures swiftly and safely on the other. this is a continuous spectrum. at bnm, we remain sharply focused on ensuring that banks are identifying and managing risks in their business and operations prudently and responsibly. this includes technology - and cyber - related risks that continue to confound financial institutions and supervisors, and longer horizon risks that we do not yet fully understand or can measure, such as climate - related risks. 1 / 5 bis - central bankers'speeches in parallel, we are working hand - in - glove with pidm to strengthen the system's collective preparedness to respond to institutional