BNM-MTCP Liquidity FINANCIAL SECTORIslamic DEVELOPMENT Management Workshop
28 - 31 October 2014
25 - 28 November 2014
CONTENTS
Learning Objectives & Programme Coverage
3
Course Programme
5
List of Participants
11
Venue of Events & Secretariat Contacts
17
Target participants Middle to senior level officials involved in the development of Islamic finance particularly on Islamic liquidity management. Participants are required have a foundation of knowledge in Islamic finance, and preferably to be dealing in liquidity management at their respective institutions. Learning Objectives At the end of the programme, participants would be able to: i. Demonstrate understanding of Islamic liquidity management and be familiar with practical issues surrounding it ii. Identify key structures, legal and documentation considerations in developing Islamic liquidity products iii. Discuss trends and challenges in managing liquidity in Islamic banks.
Learning Objectives & Programme Outline
BNM-MTCP ISLAMIC LIQUIDITY MANAGEMENT WORKSHOP 25-28 NOVEMBER 2014, TRAINING ROOM 2.1- 2.2, LEVEL 2 SASANA KIJANG, BANK NEGARA MALAYSIA, KUALA LUMPUR
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Programme Coverage i. Overview of Malaysian financial system and Islamic finance ii. Philosophy and Shari’ah principles in Islamic finance iii. Overview of liquidity management and Islamic liquidity management iv. Guiding principles on liquidity risk management v. Developing liquidity management infrastructure for Islamic banking industry vi. Liquidity management instruments, issues and challenges from the Shari’ah perspective vii. Sharing of BNM’s experience in liquidity management of the Malaysian Islamic money market viii. Sharing of BNM’s experience in assessing liquidity risk of Islamic banks ix. Case study on asset liability mismatch in Islamic banks x. Panel discussion on developing an efficient cross-border liquidity management by industry stakeholders (International Islamic Liquidity Management Corporation, Bursa Malaysia and RHB Islamic Bank)
COURSE PROGRAMME
DAY 1 | TUESDAY | 25 NOVEMBER 2014 09:00 - 09:10
Course Programme
09:10 - 09:15
09:15 - 09:25 09:25 - 10:00
10:00 - 10:15 10:15 - 11:15
11:15 - 12.45
Do’a Recital & Safety Briefing Training Room 2.1 - 2.2, Level 2 Bank Negara Malaysia Welcome Remarks Training Room 2.1 - 2.2, Level 2 Ms. Ruziana Mohd Mokhtar Bank Negara Malaysia Photography Session Foyer, Level 2 Context Setting & Ice-breaking Session Training Room 2.1 - 2.2, Level 2 This session will brief participants on overall programme agenda, state participants’ expectations of the programme, and engage participants in a get-to-know one another activity. Ms. Hasmawati Hashim Bank Negara Malaysia Energise & Engage Foyer, Level 2 Session 1: Overview of Malaysian Financial System and Islamic Finance Training Room 2.1 - 2.2, Level 2 This session will expose participants to the Malaysian financial system and the key milestones from the birth leading to the current state of Islamic finance in Malaysia.
12.45 – 14:15
Refuel & Relate KMC Atrium, Ground Floor
14:15 – 15:45
Session 3: Overview of Liquidity Management and Islamic Liquidity Management Training Room 2.1 - 2.2, Level 2 This session will explain the basic theory of liquidity management and describe its importance as a tool for central banks’ monetary policy implementation. It will also distinguish the different liquidity management practices from a number of jurisdictions around the world.
15:45 – 16:00
Prof. Dr. Mohamad Akram Laldin International Shari’ah Research Academy for Islamic Finance (ISRA) Energise & Engage Foyer, Level 2
16:00 – 17:00
Tour of Sasana Kijang and BNM Museum & Art Gallery Ground Floor
17:00
Depart for Lanai Kijang
19:45
Depart for venue of Opening Dinner
20:30 – 22:00
Opening Dinner
22:00
Depart for Lanai Kijang
Ms. Ruziana Mohd Mokhtar Bank Negara Malaysia Session 2: Philosophy and Shari’ah Principles in Islamic Finance Training Room 2.1 - 2.2, Level 2 The session will introduce participants to the fundamentals of Shari’ah principles related to Islamic finance that are crucial for Islamic finance practitioners. It will also demonstrate the dynamic nature of Shari’ah and how it is applicable in Islamic finance. Dr. Said Adekunle Mikail International Shari’ah Research Academy for Islamic Finance (ISRA)
6 Bank Negara Malaysia (BNM) | Malaysia Technical Cooperation Programme (MTCP)
09.05 – 10.30
10:30 – 10:45 10:45 – 12:15
Review & Reiterate Training Room 2.1 - 2.2, Level 2 This session will summarise key learning points from previous day’s sessions, and relate with participants’ experience in their jurisdictions. Session 4: Guiding Principles on Liquidity Risk Management for Training Room 2.1 - 2.2, Level 2 This session will illustrate and demonstrate application of the IFSB-12: Guiding Principles on Liquidity Risk Management for Institutions offering only Islamic Financial Services (IIFS).
12:15 – 14:00
Refuel & Relate KMC Atrium, Ground Floor
14:00
Depart for Putrajaya
15:00 – 16:00
Session 6: Briefing by Malaysian Technical Cooperation Program (MTCP) Secretariat Ministry of Foreign Affairs, Putrajaya This session will explain the spirit of cooperation embraced by Malaysia and initiatives taken by MTCP.
Mr. Abozer Majzoub Mohammed Osman Islamic Financial Services Board Energise & Engage Foyer, Level 2
16:00 – 18:00
Mr. Badli Hisham Hj. Adam MTCP Secretariat Putrajaya Tour
18:00
Depart for Lanai Kijang
Session 5: Developing a Robust Liquidity Management Infrastructure for Islamic Banking Industry Training Room 2.1 - 2.2, Level 2 This session will provide an overview of the main infrastructure needed for an effective liquidity management of an Islamic banking system based on the financial landscape in Malaysia. It will also describe the regulatory framework currently used by Bank Negara Malaysia, and discuss focus areas for future regulatory framework based on emerging issues and challenges. Ms. Nurhayati Mohd Khalid Bank Negara Malaysia
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09:00 - 09.05
Course Programme
DAY 2 | WEDNESDAY | 26 NOVEMBER 2014
Bank Negara Malaysia (BNM) | Malaysia Technical Cooperation Programme (MTCP)
DAY 3 | THURSDAY | 27 NOVEMBER 2014 09:00 – 09:05
Course Programme
09:30 – 10:30
10:30 – 10:45 10:45 – 12:15
Review & Reiterate Training Room 2.1 - 2.2, Level 2 This session will summarise key learning points from previous day’s sessions, and relate with participants’ experience in their jurisdictions. Session 7: Liquidity Management Instruments, Issues and Challenges: Shari’ah Perspective Training Room 2.1 - 2.2, Level 2 This session will list the liquidity management instruments, and discuss issues and challenges in managing those instruments from the Shari’ah perspective. This session will also recognise new or alternative instruments that can be used in managing liquidity. Ustaz Ahmad Suhaimi Yahya Kuwait Finance House Malaysia Energise & Engage Foyer, Level 2 Session 8: Liquidity Management of the Malaysian Islamic Money Market: Bank Negara Malaysia Experience Training Room 2.1 - 2.2, Level 2 This session will illustrate Bank Negara Malaysia’s experience in managing liquidity of the Malaysian Islamic money market, and provides a description of the Shari’ah compliant instruments used in the Islamic financial system.
12:15 – 14:00
Refuel & Relate Forum Pre-Function Area, Level 1
14:00 – 15:30
Session 9: Assessing Liquidity Risk in Islamic Banking: A Malaysian Experience Training Room 2.1 - 2.2, Level 2 This session will provide an overview of liquidity risk assessment in the context of BNM’s Supervisory Risk- Based Framework (SuRF). It will also outline the assessment of liquidity strength, and discuss supervisory expectations on governance of liquidity risk management. Finally, the session will highlight implications of various funding strategies in meeting the liquidity coverage ratio (LCR) requirement.
15:30 – 15:45 15:45 – 17:15
Mr. Bilal Mohd Parid Bank Negara Malaysia 17:15
Mr. Naimi Shuib Bank Negara Malaysia Energise & Engage Foyer, Level 2 Session 10 (Case Study): Asset Liability Mismatch in Islamic Banks: A Case Study for Malaysia Training Room 2.1 - 2.2, Level 2 The case study will recognise the adverse impact of asset liability mismatch in Islamic banks resulting from the Asian financial crisis in 1997. Participants will have an opportunity to diagnose relevant gaps that led to the asset liability mismatch and propose several mitigating approaches. Prof. Dr. Saiful Azhar Rosly International Centre for Education in Islamic Finance Depart for Lanai Kijang
8 Bank Negara Malaysia (BNM) | Malaysia Technical Cooperation Programme (MTCP)
9:05 – 10:30
Review & Reiterate Mini Forum 1.3, Level 1 This session will summarise key learning points from previous day’s sessions, and relate with participants’ experience in their jurisdictions. Session 11 (Panel Discussion): Developing an Efficient Cross Border Liquidity Management: Lessons Learned, Innovation and Challenges Ahead Mini Forum 1.3, Level 1 This session brings together aggregate viewpoints on developing an efficient cross-border liquidity management from various stakeholders’ perspective. Panel discussants will recall and briefly explain lessons learned from past experience, and discuss innovative tools and measures to strengthen efficiency of cross-border liquidity management whilst recognising the challenges that lie ahead.
10:30 – 10:45
Energise & Engage Foyer, Level 1
10:45 – 11:30
Programme Wrap-Up, Feedback Session & Certificate Presentation Training Room 2.1 – 2.2, Level 2
11:30
Depart for Lanai Kijang
11:45 – 13:45
Refuel & Relate Friday Prayers Residential Café, Lanai Kijang
14:30 – 19:30
Kuala Lumpur Experience Participants will be exposed to Kuala Lumpur as the business, finance and tourism hub of Malaysia.
Moderator: Hj. Rustam Mohd Idris Bank Negara Malaysia Panel Speakers: Mr. Abdoul Aziz Ba International Islamic Liquidity Management Corporation Mr. Azlan Nor Yusoh Bursa Malaysia Mr. Suzaizi Mohamad Morshid RHB Bank
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09:00 – 09:05
Course Programme
DAY 4 | FRIDAY | 28 NOVEMBER 2014
Bank Negara Malaysia (BNM) | Malaysia Technical Cooperation Programme (MTCP)
LIST OF PARTICIPANTS
List of Participants 12
ALGERIA
Mr. Kamal Longo General Manager Credit and Banking Regulations Bank of Algeria
[email protected] BAHRAIN
Mr. Ali Nawar Ali Abdulrahman Al Mahmood Financial Analyst Islamic Financial Institutions Supervision Directorate Central Bank of Bahrain
[email protected] BANGLADESH
Mr. Milton Biswas Assistant Director Department of Off-Site Supervision Bangladesh Bank
[email protected] COMOROS, UNION OF
Mr. Ahmed Ali Sambi Supervisor Banking Rules & Regulation Ministry of Finance
[email protected] INDONESIA
Mr. Agus Maiyo Division Head Sharia Capital Market Supporting Institution & Profession Development Indonesia Financial Services Authority
[email protected] INDONESIA
Ms. Diana Yumanita Assistant Director Macroprudential Research Bank Indonesia
[email protected] JORDAN
Ms. Lama Sharief M. Samhori Head, Primary Issues Division Open Market Operations & Public Debt. Central Bank of Jordan
[email protected] MALAWI
Mr. Chimwemwe Mlaviwa Examiner 1, Banks Supervision Reserve Bank of Malawi
[email protected] MAURITIUS
Mr. Mohammad Yahseen Peerbocus Bank Officer Grade I, Middle Office and Risk Division Reserves Management Unit Bank of Mauritius
[email protected] PAKISTAN
Mr. Mian Farooq Haq Senior Joint Director Islamic Banking Dept State Bank of Pakistan
[email protected] PALESTINE
Mr. Ahmed T. J. Khaled Inspector Inspection & Supervision Dept Palestine Monetary Authority
[email protected] PALESTINE
Mr. Mashhour B. I. Abujaish Major Inspector Inspection & Supervision Dept Palestine Monetary Authority
[email protected] PHILIPPINES
Ms. Idiosa B. Ursolino Senior Vice President Al-Amanah Islamic Investment Bank of the Philippines
[email protected] SUDAN
Mr. Walid Elhaj Mustafa Elkhadir Finance Supervisor Central Bank of Sudan
[email protected] TAJIKISTAN
Mr. Sirojidin Ikromov Deputy Chairman State Savings Bank of the Republic of Tajikistan (Amonatbonk)
[email protected] TAJIKISTAN
Ms. Nargis Salikhova Senior Specialist International Relations National Bank of Tajikistan
[email protected] List of Participants
PAKISTAN
Mr. Athar Ghafoor Senior Joint Director Domestic Money Market Dept State Bank of Pakistan
[email protected] 13
MOROCCO
Mr. Younes Issami Head, Market Operations Division Monetary & Foreign Exchange Operation Directory Central Bank of Morocco
[email protected] List of Participants
THAILAND
Ms. Angsana Kohkiattrakul Senior Examiner Bank of Thailand
[email protected] THAILAND
Ms. Sunsanee Methisariyapong Senior Vice President Islamic Bank of Thailand, Ministry of Finance
[email protected] TURKEY
Mr. Omer Cekin Sworn-In Bank Auditor Risk Management Dept Banking Regulation and Supervision Agency of Turkey
[email protected] IDB
Mr. Muhammed Yasir Gorpe Professional, Liquidity Investments Division Treasury Department Islamic Development Bank
[email protected] 14
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List of Participants
VENUE OF EVENTS & SECRETARIAT CONTACTS
PROGRAMME VENUE Venue of Events
Training Room 2.1 – 2.2 Sasana Kijang Bank Negara Malaysia Jalan Dato’ Onn 50480 Kuala Lumpur Tel: +603-91792189
OPENING DINNER Atmosphere360 Revolving Restaurant KL Tower Jalan Puncak 50250 Kuala Lumpur
LUNCH VENUE 25-26 November 2014 KMC Atrium, Ground Floor, Sasana Kijang 27 November 2014 Forum Pre-Function Area Level 1, Sasana Kijang 28 November 2014 Residential Café, Lanai Kijang
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Ms. Hasmawati Hashim HP: +6013 342 0533 Email:
[email protected] Mr. Muhammad Zaki Shah HP: +6019 304 7155 Email:
[email protected] 19
Ms. Ruziana Mohd Mokhtar HP: +6019 233 2375 Email:
[email protected] Secretariat Contacts
CENTRAL BANKING SERVICES
NOTES
Central Banking Services (CBS) Bank Negara Malaysia Sasana Kijang Jalan Dato’ Onn 50480 Kuala Lumpur Malaysia http://www.bnm.gov.my