Diversification of Islamic Financial Instruments
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 More structured products and investment in the deposit side to keep shifting the
market from saving conduct to investment conduct, and the market from credit
intermediation to investment intermediation.
 Encourage more innovative products to the customer and SME who are not within the
Islamic finance system radar to widen the scope of the financial inclusion.
 Encouraging more Sukuk issuance based on small denomination that targets the retail
market for financial inclusion. In Sept 2012, SC launched the Malaysian retail bonds
and Sukuk framework that provides retail investors direct access to invest in bonds
and Sukuk. To date, several retails Sukuk have been issued.
 Ensure consumer protection especially in the Takaful industry and schemes of
investment offered in the market by companies and startup Fintech Company.
 Encouraging the Fintech solution as a new wave in the financial market, that include
Islamic banking, Takaful and Islamic Capital Market. This encouragement should be
based on close monitoring and supervision
 Encouraging technological innovation in financial services such as Mobile Banking,
Payments, Financing, Distributed Database (Block chain), Asset Management, Financial
Inclusion, Security, Islamic Finance, Big Data, Loyalty & Rewards, Document
Management using block chain, Remittances, Mobile Payments, , and others in order to
make the market more vibrant.
 Simplify the products and services offering through the Fintech applications in Islamic
banking, Takaful and Islamic Capital Market
 More promotion to the Digital Platform offered by the Securities Commission Malaysia
such as P2P, Crowd funding, and other retails market products in the Islamic Capital
Market
 More promotion to the Investment Account Platform to widen the scope of investment
and fund raising, this promotion should couple with easy process to widen the
participation of the platform in the market
 Improve the accessibility, efficiency, security and quality of financial services;
 Enhance the efficiency and effectiveness of Malaysian financial institutions’
management of risks;
 Address gaps in or open up new opportunities for financing or investments in the
Malaysian economy. The above three points mentioned are within the aims regulatory
sandbox offered by the Central Bank of Malaysia
 The direction of the Malaysian Takaful Association (MTA), in their initiatives, are as
follows:
- Gradual removal of limits on operational costs to promote product innovation
while preserving policy/ certificate value family Takaful operators will be given