BNM Gives Assurance on Financial System

BNM has released a press statement assuring that the Malaysian Financial System can weather the current global financial turmoil. Among the points relevant to insurance industry:

• Ample liquidity in the financial system
• Insurance industry is operating with adequate capital and liquidity buffers
• Negligible exposure to both sub-prime related securities and to the affected financial institutions of other countries
• More than 90% of total assets in ringgit denominated assets
• All foreign financial institutions are locally incorporated
• The insurance industry recorded high solvency surplus of RM16.5 bil as at end-August 2008

Source: BNM