in human capital development to support the industry. while malaysia ’ s own experience and aspirations is to evolve into an international islamic financial centre, we also continue to promote a more inclusive financial system to support a more balanced growth. on the international front, the aim is to enhance our international connectivity and thus establish greater economic linkages with other economies. in dubai, the efforts by the authorities to create the islamic economy initiative to further enhance the inter - linkages with other islamic financial centres is also a step towards strengthening the international economic connectivity especially between our regions. the efforts will not only enhance islamic finance as an effective financial intermediary but also as a binding force for the other segments of the islamic economy, including with other parts of the world. our collective efforts in developing islamic finance will provide an important platform to unlock the potential opportunities that lie therein to benefit every segment of the society and the business community that now extends beyond our domestic borders. in this highly dynamic and rapidly changing world environment, efforts will need to be unrelenting on bis central bankers ’ speeches developing further the enabling infrastructure, the foundations for stability and enhancing the internal capability. and with the greater international linkages, the greater will be the importance of working collectively for the common goals we aspire and for which the benefits will be mutually reinforcing. bis central bankers ’ speeches

arendal in 1886. not long afterwards, in the late 1890s, kristiania ( now oslo ) experienced a financial bubble. a favourable international economic situation and the building of railways led to a period of prosperity in the norwegian economy, particularly in the capital. the money market was highly liquid as a result of the inflow of gold, and interest rates were relatively low. growth in banks ’ deposits and lending increased in pace with the money supply. kristiania ’ s population grew and there was an explosive period of construction, of both dwellings and commercial buildings. prices for land, building materials and houses rose dramatically. the crash was triggered in 1899 by a major bankruptcy. the crisis gradually became more acute for norwegian banks, particularly commercial banks. it had lasting consequences for the norwegian financial industry and the economy. the stock market was virtually at a standstill until world war i. the crash compelled norges bank, for the first time in its history, to channel crisis liquidity to the banking industry. bordo, m. d, b. eichengreen and j. kim ( 1998 ). was there really an earlier period of international financial integration comparable to today? nber working papers 6738 mauro, p., sussman, n. and y. yafeh ( 2000 ). emerging market spreads : then versus now. imf working paper. the next financial bubble occurred during world war i. during the first half of the war, in particular, there was strong growth in the norwegian economy. this provided the foundation for a boom that is unparalleled in history. banks ’ lending rose sharply. the build - up of risk in the financial system was far more pronounced than in previous episodes. a strong inflow of gold led to uncontrolled growth in the money supply and inflation at the beginning of the war. in addition, the constraints implicit in the gold standard gradually broke down, and the money supply expanded sharply. the banking crisis came in the wake of a cyclical downturn in the early 1920s and can largely be attributed to the build - up of risk during the boom period. the bulk of bank losses occurred before the introduction of parity policy. the authorities ’ response in response to the extensive banking crises in the interwar period, a financial safety net for banks was introduced in most developed countries. in norway, guarantee funds were introduced for savings banks in 1921 and for commercial banks in 1938. there was also a need for separate rules