Financial Crime World

Financial Inclusion and Crime Prevention in Maldives: A Keynote Speech

Introduction

As we gather at the 35th Asian Bankers Association General Meeting and Conference hosted by the Bank of Maldives, I am honored to speak on a topic that is both timely and crucial for our region - financial inclusion and crime prevention in the Maldives.

The Challenge of Financial Inclusion

The theme of this conference, “How will the digital revolution transform the economic and financial landscape?”, speaks directly to the heart of the challenges that central banks like ours are facing today. How can we harness the potential benefits of fintech while mitigating its risks? In the Maldives, we have made significant strides in advancing financial inclusion through innovative payment solutions.

  • Mobile payment transactions have increased significantly across the country, thanks to e-money distribution networks and online cash-in facilities.
  • However, around 33% of the Maldivian adult population still do not hold a bank account, highlighting the need for further improvements in financial infrastructure and banking systems.

The Role of Institutional Capacity

One of the key challenges we face is the lack of institutional capacity to support fintech innovations. To address this, we have:

  • Prioritized the development of a safe and robust payment infrastructure
  • Invested in human resources to catalyze local fintech solutions

Adapting Fintech to Local Needs

The Maldives’ unique financial landscape requires us to be creative in adopting and adapting fintech technologies to our local needs. We must:

  • Bring together local flavors when creating an enabling environment for innovations
  • Invest in building relevant expertise and necessary skills

Risks and Threats of Fintech

However, fintech also poses risks and threats to financial integrity, including:

  • Customer and investor protection
  • Adequacy of the financial safety net

To address these concerns, we need a major overhaul in our regulatory framework to contain risks and maintain trust and confidence in the system.

Conclusion

In conclusion, I would like to stress on the importance of maintaining financial integrity and fostering a culture of trust and confidence in the system. The financial sector requires vigilance to potential risks arising from new technologies and innovations. I welcome this opportunity to share my thoughts with you today, and look forward to a highly informative day filled with fruitful discussions and presentations.