Marzunisham Omar

#Malaysia is Perfect ‘Test Bed’ for #FinTech Development: Central Bank

Malaysia’s central bank said that the country is the ideal test bed for developing financial technology (fintech) solutions. Marzunisham Omar, assistant governor at Bank Negara Malaysia, explained that the growth of the sector has provided innovative opportunities within the financial industry. While the country’s central bank is keen to push a fintech agenda, its position on digital currencies is not as clear. Bank Negara governor Muhammad bin Ibrahim said that a blanket ban on cryptocurrencies was not out of the question. The bank is currently developing guidelines for them. Either way, by the end of the year, the bank is expected to reveal its position on the cryptocurrency market.

Bank Negara: Islamic finance will focus on quality growth

#Malaysia is second only to Saudi Arabia in terms of Islamic banking in the world. Of the US$71 billion Syariah-compliant asset funds managed, 33% are in Malaysia. The country’s central bank, Bank Negara Malaysia (BNM) continues to raise awareness of Malaysia as an international Islamic financial centre. According to BNM assistant governor Marzunisham Omar, the next area of focus is quality growth. The 16 Islamic banks and 11 takaful operators are seeing value-returns by embarking on initiatives through Value-Based Intermediation (VBI). VBI is a business strategy by Islamic financial institutions, driven by a desire to create value rather than focus on short-term objectives. VBI is a business strategy of the institution to drive growth and sustain growth. It is a collaborative effort by the central bank together with Islamic banking institutions. Today nine Islamic banks are already involved and the central bank is working to develop a value-based scorecard to measure the success of banking institutions.

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