Advancing Malaysia’s Financial & Capital Markets

Bismillahirrahmanirrahim

Yang Berbahagia Dato’ Sri Abdul Rasheed Ghaffour,
Governor, Bank Negara Malaysia;

Yang Berbahagia Dato’ Mohammad Faiz Azmi,
Chairman, Securities Commission Malaysia;

Yang Berbahagia Datuk Syed Zaid Albar,
Chairman, CIMB Group;

Distinguished guests

Ladies and gentlemen

Assalamualaikum Warahmatullahi Wabarakatuh and Salam Malaysia MADANI

1. It is a privilege to be here at the Advancing Malaysia's Financial & Capital Markets: Moving the Market Forward, Together.
   
   
2. We gather at a pivotal moment for Malaysia's financial sector. Around the world, technology is reshaping markets, investor expectations are evolving, and competition for capital is becoming increasingly intense.
   
   
3. Against this backdrop, a critical question confronts us: how do we ensure that Malaysia's financial and capital markets remain competitive, resilient and relevant in the years ahead?
   
4. The answer extends beyond simply embracing new technologies.
   
   
5. It requires us to strengthen market foundations, enhance efficiency, broaden access to capital, and ensure that our financial system continues to support sustainable economic growth.
   
   
6. Malaysia enters this next phase from a position of strength. Over the decades, we have built deep, well-regulated and diversified capital markets. We have established global leadership in Islamic finance, and earned the trust of investors through strong institutions and sound governance and prudent regulation.
   
   
7. These achievements did not happen by chance. They were built on enduring partnership.
   
   
8. Partnership between regulators and industry. Partnership between public and private sectors. And importantly, a shared commitment to developing financial markets that serve the long-term interests of the nation.
   
   
9. As we look ahead, that spirit of collaboration will become even more critical. The future of finance cannot be shaped by any single institution acting alone. It will require regulatory leadership, responsible innovation, investor confidence and, above all, close cooperation across the entire financial ecosystem.
   
   
10. That is why today's industry dialogue is important.
    
    
11. The strong partnership of regulators, financial institutions, market infrastructure providers, institutional investors, GLICs, asset managers and corporates reflects a collective commitment to Malaysia's financial future. Your presence sends a powerful signal of confidence in our markets and in our shared ambition to build a modern, dynamic and future-ready financial ecosystem.

Ladies and gentlemen,

12. Today's theme, "Advancing Malaysia's Financial & Capital Markets: Moving the Market Forward, Together," underscores an important reality. The future of finance will be shaped not only by technology, but by how effectively we work together to unlock its potential for the wider economy.
    
    
13. This principle is reflected in today's panel discussion, "Beyond Digitalisation: Building the Next Generation Financial System." The conversation is not about digitalisation for its own sake. Rather, it is about how innovation, regulation and market infrastructure can converge to create a financial system that is stronger, more efficient and more resilient.
    
    
14. In this regard, I would like to commend CIMB for its pioneering efforts under the Digital Asset Innovation Hub. The successful proof of concept demonstrating the settlement of a tokenised sukuk using a CIMB tokenised deposit marks an important milestone for Malaysia's financial and capital markets. More importantly, it demonstrates how innovation can be applied within a trusted and regulated framework to enhance market efficiency, strengthen financial infrastructure and support the continued development of Malaysia’s capital markets.
    
    
15. This achievement is also a testament to the power of collaboration. It reflects the collective efforts of Bank Negara Malaysia, the Securities Commission, industry stakeholders, institutional investors and market participants. It shows what can be accomplished when regulators and industry work together with a shared vision for the future.

Ladies and gentlemen,

16. The next generation financial system will not be defined by technology alone.
    
    
17. It will be defined by our ability to combine innovation with trust, efficiency with resilience, and progress with stability.
    
    
18. Emerging technologies, including artificial intelligence, digital infrastructure and tokenisation, will undoubtedly create new opportunities. However, their true value lies not in their novelty, but in their potential to improve market efficiency, reduce friction, expand access and create greater economic opportunity.
    
    
19. Our task, therefore, is clear.
    
    
20. We must build a financial system that is more efficient, more connected, more inclusive and better positioned to support Malaysia's future growth and competitiveness.
    
    
21. The discussions we have today are therefore about much more than technology.
    
    
22. They are about strengthening Malaysia’s competitiveness.
    
    
23. They are about deepening investment and capital formation.
    
    
24. And they are about ensuring that Malaysia remains a leading financial and capital market in the region.
    
    
25. Malaysia has the institutions. Malaysia has the expertise. Malaysia has the talent.
    
    
26. Most importantly, Malaysia has a longstanding tradition of constructive cooperation between policymakers, regulators and market participants.
    
    
27. If we continue to build on these strengths, I am confident that Malaysia will further strengthen its position as a leading financial hub and reinforce its standing as a global leader in Islamic finance.
    
    
28. Let us continue to innovate responsibly.
    
    
29. Let us continue to strengthen our markets.
    
    
30. And let us continue moving the market forward, together.

Wabillahi Taufik Wal Hidayah, Wassalamualaikum Warahmatullahi Wabarakatuh.

Thank you.