Assalamualaikum, bismillahirrahmanirrahim and welcome to MyFintech Week 2022.

MyFintech Week is an important event for the Malaysian financial sector. This is where changemakers from finance, technology, government, business and other disciplines come together to discuss how we can shape the future of finance through technology and innovation.

The theme of this year’s conference is “Advancing digitalization for recovery, sustainability and inclusion“. Over the past two years, we have witnessed an acceleration in the pace of digital adoption in government, society and business, unparalleled in recent history. Against this backdrop, this theme seeks to harness the enormous potential of digital technology to transform finance and help build a more inclusive, resilient and sustainable economy of tomorrow.

Over the next five days, more than a hundred speakers will discuss a wide range of issues ranging from environmental sustainability, the future of money, emerging technologies and consumer financial health.

At MyFintech Week 2019 two years ago, I spoke about the dynamic changes the world was going through and, consequently, the opportunities and risks they presented to the financial industry. These include changes in the global economic order, climate change, growing income inequality and technological advancements.

In the two years since, the severe global health and economic crisis facing the world has brought these trends into even sharper focus. For example, the pandemic has exposed and aggravated longstanding vulnerabilities in Malaysia and many places around the world. These include the fragility of social protection systems, underinvestment in health and infrastructure, and the need to improve our education system. As a result, vulnerable groups have borne much of the economic, social and health cost of the pandemic and they continue to be at risk. This will affect economic and social resilience and therefore not only our chances of recovering and bouncing back from the pandemic, but also of facing other existential challenges ahead, such as those of the environment and climate.

On the bright side, the pandemic has demonstrated the power and potential of finance to solve the pressing problems of our time. The financial system has shown resilience, with the ability to provide essential support to households and businesses during difficult times. Digital financial services such as e-payments have allowed individuals and businesses to continue transacting in a low-touch environment, with even greater ease. The financial industry has also strengthened itself to provide various forms of relief to customers over the past two years, such as giving borrowers a break and helping them get back on their feet while ensuring that the interests of depositors are not compromised. All this has been made possible thanks to the efforts made over the past decades to develop and strengthen the financial system.

Likewise, the financial sector will continue to play a central role in providing solutions to the challenges ahead – whether ensuring an orderly transition to a greener economy or helping households and businesses to become more resilient to financial shocks in an increasingly dynamic and rapidly changing economic environment.

And so, while we’ve been busy directing our minds and energies to the here and now of the pandemic, we haven’t stopped thinking about the future.

Today we will launch the Financial Sector Blueprint 2022-2026. It presents Bank Negara Malaysia’s vision for the development of the financial sector over the next five years, as well as our general strategies to achieve it. This includes the vision of an agile and resilient financial sector to support our nation’s transition to its next stage of development.

We have identified five priorities that will anchor our efforts – in collaboration with government, industry, business and social enterprises and other stakeholders – to promote a financial system that will ensure long-term growth, planetary health and shared prosperity. The five priorities are:

  1. First, finance Malaysia’s economic transformation;

  2. Second, improve the financial well-being of households and businesses;

  3. Third, advancing the digitalization of the financial sector;

  4. Fourth, position the financial system to facilitate and order the transition to a greener economy;

  5. And fifth, to advance value-based finance through thought leadership in Islamic finance.

We are excited about the Blueprint and look forward to further engaging and working with you to turn these aspirations into reality. But before that, let me share with you our approach and thinking behind this Blueprint. I will highlight four key points that informed our approach and thinking.

First, with the benefit of two decades of financial sector development behind us, we are building on solid foundations looking to the future. This means that we believe the financial sector is well positioned to play a greater role in driving transformation and change at the industry level.

Second, as the changing trends around us intensify, we are committed to fostering conditions of greater market dynamism to meet the changing needs of the economy and society. This requires more and more diverse players in the financial system, operating within well-defined parameters that encourage healthy competition and innovation, as well as prudent and responsible conduct.

Third, we firmly believe that the purpose of finance is to meet the needs of the real economy, to improve lives and livelihoods. Ultimately, financial services should help people and businesses grow their wealth, engage in trade and commerce, and build resilience. It should help clients manage financial risks and adverse events, including climate and environmental risks, to ensure sustainable prosperity. To this end, the Master Plan aims to align the financial sector with the national aspiration not only to become a high value-added, high-income economy, but also to lay a solid foundation for a more dynamic, inclusive development path. and sustainable.

Fourth, we remain firmly anchored on the Bank’s monetary and financial stability mandates. As we have always emphasized, sustainable economic growth can

only intervene in a context where monetary and financial stability is preserved and where the integrity of the financial system is safeguarded.

This master plan is the result of the work of many people, both inside and outside of Bank Negara Malaysia. For this, our sincere thanks go to all those who generously gave ideas, ideas and time to make this Master Plan possible. I would also like to thank Yang Berhormat, Senator Tengku Datuk Seri Utama Zafrul Aziz, Minister of Finance, for honoring this event and launching the Master Plan.

Although the production of the Blueprint was a lot of work, the biggest task for us is to turn its vision into reality. It forces us to work and think outside the box as the nation enters a new stage of development. We hope and believe that the financial sector will continue to serve Malaysia well in the years to come, doing its part to improve the well-being of people today and for generations to come.