Malaysian financial system

Financial Sector Talent Enrichment Programme

The Malaysian Financial System
Jessica Chew
Assistant Governor
Bank Negara Malaysia
21 April 2011
1

Let’s discuss the role of…

the financial system

bank negara malaysia

YOU

2

Landscape of the Malaysian financial system
BANK NEGARA MALAYSIA

SECURITIES COMMISSION stock broking companies markets payment & settlement systems

Islamic banks

(re)insurance companies (re)takaful operators insurance brokers/ adjustors

venture capital/private equity

asset/fund management companies

offshore insurance international
Islamic banks

international takaful operators

financial advisors financial planners dealers/ brokers

offshore fund management companies

money brokers

institutions

commercial banks development finance institutions

factoring & leasing companies

money market

investment banks

foreign exchange market

unit trust companies LABUAN
FSA

other offshore financial institutions debt securities market derivatives market equity market

payment system operators payment system issuers

clearing systems for securities / funds / cheques / derivatives

offshore banking non-bank financial intermediaries

provident & pension funds

Cagam as

cooperatives

Credit
Guarantee
Corporation

m oney lenders

housing credit institutions 3

A snapshot of the financial sector…

 Diversified financial system
 Strong financials
 Contributes almost 12% of GDP
 Workforce of 150,000
 Regional presence
 Global leader and centre for Islamic finance
 Largest bond market in South East Asia

The financial sector and the economy



macroeconomy

household sector 

financial sector 

corporate sector 



financial & property markets

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Financial instability can cause serious breakdown in market functioning, with adverse