Latest news with #SasanaSymposium2025
The Sun
2 hours ago
- Business
- The Sun
BNM plans to make Financial Education Network Proaktif mandatory for youth
KUALA LUMPUR: Bank Negara Malaysia (BNM) plans to make its money literacy programme, called Financial Education Network (FEN) Proaktif, mandatory for the youth. BNM deputy governor, Adnan Zaylani Mohamad Zahid, said the central bank is looking forward to working with various agencies in encouraging the youth to enrol in this programme. '(We are planning) to make it mandatory or give them credit to undertake this FEN Proaktif financial education programme so that the youth are equipped by the time they graduate or they enter the workforce. 'This is to make sure they have sufficient financial literacy, knowledge and skills to face these financial decisions at any moment,' he said. Adnan Zaylani said this during a panel session on the topic, 'Securing Youth Financial Future: Enhancing Financial Capability', at the Sasana Symposium 2025, hosted by BNM today. He noted that BNM is currently awaiting responses from the respective ministries regarding its planning and added that: 'We will see if the ministries will be reset before that suggestion'. The panel session was also attended by the Minister of Youth and Sports (KBS), Hannah Yeoh, who also addressed alarming data on the number of youth involved with bankruptcy in Malaysia. In 2024, 877 cases of youth declaring bankruptcy were recorded, compared to 727 in 2023, showing an increase of 150 cases within a year. 'If you look at the youth population, 9 million, this is a small number, but the trend is a bit scary? It is so easy to buy things and then put them on an instalment plan and then pay later, but when you start accumulating credit card debt, you pay interest, spending money that you do not have,' said Yeoh. Thus, she said amid the growing trend, the MADANI government has amended the Bankruptcy Act, allowing bankrupt persons below 40 who have small debts to be discharged to give them a second chance.
The Sun
2 hours ago
- Business
- The Sun
BNM plans to make Financial Education Network Proaktif mandatory
KUALA LUMPUR: Bank Negara Malaysia (BNM) plans to make its money literacy programme, called Financial Education Network (FEN) Proaktif, mandatory for the youth. BNM deputy governor, Adnan Zaylani Mohamad Zahid, said the central bank is looking forward to working with various agencies in encouraging the youth to enrol in this programme. '(We are planning) to make it mandatory or give them credit to undertake this FEN Proaktif financial education programme so that the youth are equipped by the time they graduate or they enter the workforce. 'This is to make sure they have sufficient financial literacy, knowledge and skills to face these financial decisions at any moment,' he said. Adnan Zaylani said this during a panel session on the topic, 'Securing Youth Financial Future: Enhancing Financial Capability', at the Sasana Symposium 2025, hosted by BNM today. He noted that BNM is currently awaiting responses from the respective ministries regarding its planning and added that: 'We will see if the ministries will be reset before that suggestion'. The panel session was also attended by the Minister of Youth and Sports (KBS), Hannah Yeoh, who also addressed alarming data on the number of youth involved with bankruptcy in Malaysia. In 2024, 877 cases of youth declaring bankruptcy were recorded, compared to 727 in 2023, showing an increase of 150 cases within a year. 'If you look at the youth population, 9 million, this is a small number, but the trend is a bit scary? It is so easy to buy things and then put them on an instalment plan and then pay later, but when you start accumulating credit card debt, you pay interest, spending money that you do not have,' said Yeoh. Thus, she said amid the growing trend, the MADANI government has amended the Bankruptcy Act, allowing bankrupt persons below 40 who have small debts to be discharged to give them a second chance.
The Star
2 hours ago
- Business
- The Star
Malaysia's economic position remains stable amid shift in global trade dynamics
KUALA LUMPUR: Malaysia's economic position remains stable despite global trade uncertainties, with optimism surrounding ongoing negotiations, said Bank Negara Malaysia (BNM) deputy governor Adnan Zaylani Mohamad Zahid. He highlighted the impact of the ongoing trade war and trade negotiations, noting that while short-term effects may not be drastic, long-term shifts in trade dynamics could influence currency movements. "Prime Minister Datuk Seri Anwar Ibrahim mentioned this morning that Minister of Investment, Trade and Industry Tengku Datuk Seri Zafrul Abdul Aziz is already in Washington this week to negotiate with the United States, so we will have to see how these developments pan out. "I think there's (a good) reason to not be so pessimistic of the outcome of the trade dynamics, especially on the trade negotiations,' he said during a panel session entitled 'The Drivers of the Ringgit' at the Sasana Symposium 2025 here today. Adnan said local businesses remain positive on the outcome of the changing trade dynamics, and they foresee new opportunities emerging from this scenario. He noted that the majority of businesses in Malaysia were not significantly affected by the trade war, and some are looking for new opportunities to emerge because of the changing trade dynamics. "We engage with businesses across the country, from regional offices on the East Coast, northern states, southern states, as well as in Sabah and Sarawak. "So we think the outcome of the trade negotiations may not be too bad for Malaysia, and we should be able to continue to have a pretty steady growth and new opportunities could emerge out of this,' he said. On the ringgit, Adnan said BNM will continue to engage with the marketplace through the Financial Markets Committee (FMC) and corporate entities to ensure its intervention decisions could stabilise the ringgit. "We come in to provide liquidity to the market and also work with the other players to see what their flows are, and how we can help to stabilise the currency market. "This is what we have been doing for the past two years already, and we will continue to do this because the currency is highly uncertain and still quite challenging," he said. Meanwhile, Adnan said the central bank is looking forward to expanding the scope of the Local Currency Settlement Framework (LCSF) beyond trade, which includes the securities and equities markets, following a positive outcome from the usage of local currency in LCSF among ASEAN countries. BNM has introduced LCSF for businesses to transact, invoice and deal in settlement in Thai baht, Indonesian rupiah or even yuan. "We are quite happy with the progress. Today, 20 to 27 per cent of our trade with China is settled in either yuan or ringgit. "Even for Thai baht and Indonesian rupiah, which are later additions, 16 to 17 per cent of trade with these countries are settled in these local currencies,' he said. - Bernama
Borneo Post
4 hours ago
- Business
- Borneo Post
BNM: Wage reform can ease inflation, cost of living pressure
Data from the 1Q 2022 to 2Q 2025 revealed that productivity per worker rose by 7.4 per cent, yet real wages declined during the same period. – BNM site photo KUALA LUMPUR (June 17): Controlling inflation alone is insufficient to alleviate cost-of-living pressures, said Bank Negara Malaysia (BNM), highlighting the urgent need for structural reforms to address stagnant wage growth and ensure that incomes keep pace with rising prices. Deputy Governor Datuk Marzunisham Omar said that although headline inflation has eased significantly due to timely monetary policy tightening, price levels remain elevated, thereby reducing household purchasing power amid moderate wage growth. 'From the first quarter of 2020 (1Q 2020) to the 1Q 2025, the Consumer Price Index cumulatively increased by 9.8 per cent, while prices for food and beverages rose even higher at 17.5 per cent. 'In contrast, nominal private sector wages per worker increased by only 7.9 per cent over the same period…So, in real terms, wages per worker declined by 1.9 per cent, hence why we are feeling the pressure of the rising cost of living,' he said. Marzunisham said this during a panel session on the topic 'Managing Inflation, Easing Cost: A Policy Perspective' at the Sasana Symposium 2025 hosted by BNM today. He pointed out that while it is commonly argued that wages should reflect productivity, data from the 1Q 2022 to 2Q 2025 revealed that productivity per worker rose by 7.4 per cent, yet real wages declined during the same period. 'This clearly illustrates, particularly at the micro level, a structural misalignment between productivity gains and wage growth,' he added. Meanwhile, he said Malaysia should focus on creating more high-paying and skilled jobs. This is where investments come into the picture, and attracting the right kind of investment is crucial to creating high-skilled jobs that lead to high income. He highlighted that Malaysia recorded very encouraging investment approval numbers in 2023 and 2024, and the percentage of high-skilled jobs in the economy increased to about 30 per cent, an increase from 25 per cent a few years ago. Marzunisham said that attention must also be given to the supply side, where policy interventions are necessary, noting the ongoing concerns from employers regarding the quality of graduates entering the labour market. 'Between 2022 and 2023, around 260,000 fresh graduates entered the job market. However, only about 150,000 high-skilled jobs were created annually during that period, resulting in a gap of nearly 100,000. 'That's why we see underemployment among graduates remaining high — about 36 per cent of our graduates are working in mid- or low-skilled jobs, simply because they cannot secure high-skilled employment,' he said. Additionally, he noted that employers are complaining that they cannot find the right skilled workers, which underscores the need to improve training and address the skill mismatch among fresh graduates. He also pointed out that some countries have adopted differentiated minimum wages based on skill levels, and emphasised the need to focus on the broader ecosystem that shapes how wages are determined. Marzunisham also highlighted that some countries have introduced differentiated minimum wages, where the minimum wage is set according to skill levels, adding that another focus area should be the overall ecosystem of how wages are determined. 'The collaboration and engagement between employers, employees, and government unions, for example, is important, so that all these actors, all these participants, come into engagement in deciding how wages should be increased in the country, rather than leave it to the public forces,' he said. – Bernama Bank Negara Malaysia cost of living Inflation wage reform
Business Times
5 hours ago
- Business
- Business Times
Malaysia launches Digital Asset Innovation Hub to speed up growth of fintech and blockchain
[KUALA LUMPUR] Malaysia unveiled its Digital Asset Innovation Hub on Tuesday (Jun 17), with an eye on accelerating growth in the digital economy, particularly in the digital finance sector. Prime Minister Anwar Ibrahim, in his speech at the event, described it as the beginning of a new chapter, 'one that calls for deeper collaboration between regulators and industry players'. The innovation hub, unveiled at the Sasana Symposium 2025, aims to provide a controlled environment – a regulatory sandbox – for local and international fintech and digital-asset firms to test their products and services. The symposium on Jun 17 and 18 homes in on pressing economic issues and policy reforms and is hosted by Bank Negara Malaysia in Kuala Lumpur. The participants include policymakers, industry leaders, academics and the business community who are taking part in discussions and workshops. The sandbox-like setup of the hub is aimed at ensuring regulatory compliance and relevance to Malaysia's evolving digital economy. Anwar said the hub would be a key catalyst for innovation, enable use cases such as programmable payments, ringgit-backed stablecoins and supply chain financing. A NEWSLETTER FOR YOU Friday, 8.30 am Asean Business Business insights centering on South-east Asia's fast-growing economies. Sign Up Sign Up 'Our ambition is clear – to align infrastructure, policy and talent, across both the public and private sectors, in pursuit of a digitally capable, future-ready Malaysia,' he said. Further details on the programme were not disclosed. The move underscores Malaysia's broader ambitions to position itself as a regional fintech hub. In April, Anwar met with Binance founder Changpeng Zhao to discuss the country's potential in the cryptocurrency space. Zhao pleaded guilty to US money laundering violations in 2023, and was reprimanded by Malaysia in 2021. By the following year, however, Binance had secured a regulated presence in Malaysia through its minority stake in MX Global, operating under local oversight. Anwar said that Malaysia is charting a bold course in digital transformation, guided by national strategies such as the Digital Economy Blueprint, the Financial Sector Blueprint and the Capital Market Masterplan. Ensuring stability amid rapid evolution Malaysia is charting a bold course in digital transformation, guided by national strategies such as the Digital Economy Blueprint, the Financial Sector Blueprint and the Capital Market Masterplan. PHOTO: BT FILE Bank Negara governor Abdul Rasheed Ghaffour, in his opening remarks, said as a steward of financial stability, the central bank acknowledges the rapid evolution of the digital asset landscape, so it is pursuing digitalisation to ensure Malaysia's financial system remains fit-for-purpose and capable of serving the national economy. He added: 'From the modernisation of Rentas, our payment systems infrastructure, to the expansion of cross-border payment linkages, and now, the exploration of asset tokenisation and other digital solutions, we aim to build a strong foundation for an adaptive and resilient economy.' Thailand's digital-asset sandbox programmes In a panel discussion on the future of digital assets held on the opening day of the symposium, Naphongthawat Phothikit, senior director of payment systems and financial technology policy department at Bank of Thailand, shared insights on Thailand's digital asset regulatory sandbox programmes and how these have helped fintech companies enhance their marketability while ensuring security. Thailand launched its Digital Asset Sandbox last August, he said. There are two types of sandbox programmes: The first enables service providers to offer conventional financial services using new technologies; the other sandbox will be for unregulated activities, particularly in payments involving stablecoins. Banks testing the use of cryptocurrencies (such as stablecoins) for cross-border fund transfers, for example, would use the first type of sandbox for their trial runs. While their customers still transact in fiat currency, the use of cryptocurrencies would mitigate the risk of price fluctuations and ensures that customers receive the full transferred amount, said Phothikit. (Transactions between Thai and US banks use USDC, a stablecoin with its value pegged to the US dollar.) Another use case entails private-sector banks developing blockchain networks to streamline bond issuance. Through blockchain, they can effortlessly calculate principal and interest, using e-money for payments to bondholders. 'These examples demonstrate the application of new technology within traditional business models,' he added. Referring to the sandbox for unregulated activities, particularly in payments involving stablecoins, he said: 'We have regulations that require stablecoins to be pegged to the Thai baht, but they are not listed on secondary markets.' The sandbox provides a controlled environment to test the functionality and safety of these payment solutions before they are introduced to the wider market, he added.
