March MPC  May MPC  August MPC  per cent 6 5  20-year 10-year  4  5-year  3 2  3-year 1 0 Jan 2009  Apr  Jul  Oct  Chart 3 – Gilt-OIS spreads  basis points 40 US 20 0 -20  Euro Area  -40 UK  -60 -80  Mar 2009  BIS Review 126/2009  Jun  Sep  7  Chart 4 – Sterling investment grade corporate bond spreads  Basis points 800  March MPC  700  Dollar  600 500  Ste rling 400 Euro  300 200 100 0  Aug Nov Feb 2007 08  May  Aug  Nov  Feb 09  May  Aug  Chart 5 – UK equity prices 4000  FTSE All -Share  3500 3000 2500 2000 1500 1000 500 0  1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009  8  BIS Review 126/2009  Chart 6 – UK PNFC’s Cumulative equity and debt issuance  70 average 2003-2008 60 2009  40  £ bns  50  30 20 10 0 Jan  Feb  Mar  Apr  May  Jun  Jul  Aug Sep  Oct  Nov Dec  Chart 7 – International 3-month LIBOR-OIS spreads  Basis points 400 Sterling US dollar Euro  350 300 250 200 150 100 50 0  Jan Apr Jul Oct Jan Apr Jul Oct Jan Apr Jul Oct Jan Apr 2007 08 09 10  BIS Review 126/2009  9  Chart 8 – Nominal GDP and broad money growth percentage changes oya 20 M4-Intermediate OFCs  15  10  5 GDP 0  -5  -10 1987  10  1989  1991  1993  1995  1997  1999  2001  2003  2005  2007  2009  BIS Review 126/2009
Encik Abdul Rasheed Ghaffour: Shaping the future starts now Speech by Mr Encik Abdul Rasheed Ghaffour, Deputy Governor of the Central Bank of Malaysia (Bank Negara Malaysia), at the launch of the Financial Management for Retirement Module "Shaping the future starts now", Kuala Lumpur, 7 April 2017. * * *  Importance of financial literacy There is a growing concern on the low financial literacy level of Malaysians as measured by financial knowledge, attitudes and behaviours. Based on the Financial Capability and Inclusion Demand Side Survey conducted by Bank Negara Malaysia in 2015, the main observations on the state of financial literacy of Malaysians can be described by: a. First – the majority of Malaysians have inadequate knowledge on financial matters to enable them to make informed financial decisions, particularly among the vulnerable groups; b. Second – a significant majority of Malaysians display short-sighted tendencies and are inclined to ‘live for the moment’ – that is to only focus on instant gratification at the expense of long-term financial planning; c. Third – more than 75% of Malaysians find it difficult to even raise RM1,000 to meet emergency needs; d. Fourth – only a quarter of Malaysians have any form of investment; and e. Fifth – most Malaysians indicated that they will face financial pressure should there be a loss of income. Therefore, building the financial capability and literacy of Malaysians is certainly a priority for the nation.