Consequently, some solutions can only be applied at the international level. This is why the G20 has grown in significance since 2008. We need to make further progress in international cooperation, in particular to identify the sources of global financial imbalances and reduce them via the “framework for strong, sustainable and balanced growth” and to improve international financial regulation. As regards the latter, we must always bear in mind our twofold objective: enhancing financial stability while ensuring the financing of the economy. I would now like to turn to the situation in the euro area. As you know, in 2011, the sovereign debt crisis in the euro area was particularly ferocious, spilling over to countries with sound economic fundamentals. The first three months of 2012 had shown a few signs of improvement, in particular thanks to the Eurosystem initiatives and positive political impulses: pressure on sovereign debt eased slightly, and bank financing and money markets recovered somewhat. But since April, sovereign debt and banking systems have come under renewed pressure. The two main driving factors behind this deterioration are the fiscal problems and difficulties in the banking sector in Spain – but the plan adopted over the weekend should respond effectively – and, above all, the major political uncertainty in Greece. Therefore, there is a tremendous amount of work to do on a number of fronts if Europe is to find a durable solution to the crisis.
Muhammad bin Ibrahim: Of directors and supply of talent Remarks by Mr Muhammad bin Ibrahim, Deputy Governor of the Central Bank of Malaysia (Bank Negara Malaysia), at the Launch of FIDE Forum Directors Register “Of Directors and Supply of Talent”, Kuala Lumpur, 1 April 2016. *  *  *  Today marks an important step forward for board talent management among financial institutions in Malaysia. The Directors Register will be launched this morning to address the financial sector’s need for a reliable supply of qualified individuals to meet the growing demand for high-calibre directors. Financial institutions play a critical role in the economy, intermediating funds to support the real economy. Because of the criticality of the role, financial institutions must be led by directors who possess the necessary skills, experience and integrity to spearhead financial institutions in a competent and effective manner. Identifying, developing and retaining directors of high calibre are no easy task. We need to design a solution to achieve it. The Directors Register is therefore a timely initiative as this acts as a solution to expand the pool of potential directors for boards of financial institutions. Demand imperatives Being a director of a financial institution is highly demanding. The last financial crisis has shown the failure of board oversight in managing the affairs of financial institutions. Unbridled risks-taking, misaligned, incentives structures and failures in overall governance were just a few of the shortcomings that almost brought the global financial system to a standstill.