Malaysia’s Financial System Remains Solid Despite Global Crisis, Says Zeti

Written by Writer on Wednesday, November 12th, 2008

Malaysia’s Financial System Remains Solid Despite Global Crisis, Says Zeti

KUALA LUMPUR, Nov 11 (Bernama) — The overall financial system is solid and sound even though the financial market in Malaysia has been affected by the global financial crisis, Bank Negara governor, Tan Sri Dr Zeti Akhtar Aziz, said here Tuesday.

“Liquidity is ample in the domestic financial system,” she said in her speech at the launch of the International Syariah Research Academy here Tuesday.

She said the banking institutions were operating with strong capital and liquidity buffer and had continued to provide financing to the economy.

Asked to elaborate on the global financial crisis’ effects on Malaysia, she said: “Of course our financial markets are affected.”

“We see, for example, although the stock market has stabilised and improved in October when the global meltdown was across-the-board, we were affected (but) less than many others,” she said.

Zeti said Malaysia was not insulated from the global development.

“The spillover effects of the financial crisis from many of the developed countries are global,” she said.

– BERNAMA