DATE: 21st August 2017
TIME: 9:30 am – 12:30 pm
VENUE: Menara CIMB
TOPIC: Deepening Capital Markets in ASEAN: Opportunities and Challenges Financial and capital markets linkages are key to facilitating trade and investment growth, and driving forward economic growth in ASEAN. The new vision 2025 for the financial sector integration covers three objectives, namely financial integration, financial inclusion, and financial stability. It also encompasses three cross-cutting areas: capital account liberalisation, payment and settlement systems, and capacity building.
Despite efforts by regulators since 2004 to create inter-connected, inclusive and resilient ASEAN capital markets, they continue to remain fragmented, resulting in missed opportunities in meeting funding needs that the region requires. For instance, ASEAN is experiencing an infrastructure paradox as governments are unable to meet infrastructure financing needs, estimated by the ASEAN Infrastructure Fund to be approximately US$60 billion per year, yet investors are unable to tap into the existing surplus in capital because capital markets are not deep enough.
In a recent report titled Deepening capital markets in emerging economies which diagnoses the performance of several individual markets across Asia (including six ASEAN countries), McKinsey & Company said the lack of sophistication in the markets of many of Asia’s emerging economies represents USD800 billion in missed opportunities per year. Many countries’ issuers have been unable to raise affordable capital at scale as markets are not providing attractive and diverse avenues to deploy short- and long-term domestic savings and high-quality pricing to maximise efficiency of resource allocation.
This is a worrying trend, especially if the AEC strives to have an integrated and resilient ASEAN Capital Market by 2025. In this session, we will discuss the level of development of individual capital markets in ASEAN, what foundational policies need to be strengthened, aspects of market architecture and design which are lacking, and how these lessons can be extrapolated to the regional level to achieve a deeper and more sustainable ASEAN Capital Market.
Mr. Joydeep Sengupta
Senior Partner, McKinsey & Company and Managing Partner, Asia-Pacific Banking Practice
Mr. Joydeep is a Director in McKinsey & Company and leads the Asia Banking practice, based in Singapore. He has served leading financial institutions in Asia and Europe.
Joydeep has deep expertise in a range of business areas including retail banking, wholesale banking and organization-related topics. He has worked with Asian banks and insurers on business unit strategy, service operations, risk and regulation and sales excellence and channel management.
His recent work includes supporting the performance transformation of several leading banking groups in Asia with a focus on sustainable change management and helping with bank and banking sector restructuring issues facing Asian banks. He is currently a member of several policy-making groups in Asia on financial sector and capital market reform issues.
In addition to serving clients, Joydeep has authored several publications in the areas of asset management, banking reform, economic crisis and infrastructure development. Prior to McKinsey, Joydeep held several managerial positions with HSBC.
Joydeep holds a Post Graduate Diploma in business management from Indian Institute of Management, Ahmedabad and a Bachelor of Commerce from the University of Delhi.
Tan Sri Dato’ Seri Ranjit Ajit Singh
Executive Chairman, Securities Commission Malaysia,
Chairman, ASEAN Capital Markets Forum (ACMF)
Tan Sri Dato’ Seri Ranjit Ajit Singh was appointed as the Executive Chairman of the SC on 1 April 2012. He has extensive experience in the field of finance and securities market regulation and has spearheaded many key initiatives in the development and reform of Malaysia’s capital market. He was appointed the Vice-Chairman of the governing Board of IOSCO and is the Chairman of IOSCO’s largest Committee, the Growth and Emerging Markets Committee. In 2014, Tan Sri Dato’ Seri Ranjit was appointed Chairman of the ASEAN Capital Markets Forum (ACMF). Tan Sri Dato’ Seri Ranjit chairs the Securities Industry Development Corporation (SIDC), the Malaysian Venture Capital and Private Equity Development Council (MVCDC) and the Capital Market Development Fund (CMDF). He is also the Vice-Chairman of the Asian Institute of Finance and a Board member of the Labuan Financial Services Authority and the Financial Reporting Foundation as well as a board member of the Malaysian Institute of Integrity (IIM).
Dato’ Sri Nazir Razak
Chairman, CIMB Group
Dato’ Sri Nazir Razak is the Chairman of CIMB Group Holdings Berhad. He joined CIMB’s corporate advisory department in 1989 and served the Group in various capacities before being appointed Chief Executive in 1999. After 15 years as Chief Executive, Nazir became Chairman on 1 September 2014. He spearheaded the Group’s transformation from a Malaysian investment bank into an ASEAN universal bank via several acquisitions and new builds throughout the region.
Today, CIMB is Malaysia’s second-largest financial services group and ASEAN’s fifth-largest by assets. Backed by a staff force of around 39,000, the Group has operations in 15 countries, but positions itself as an ASEAN franchise. Under Nazir’s stewardship, CIMB has won many awards, including best investment bank and best Islamic bank in Asia and best bank in Malaysia. Nazir himself was recognised as Malaysia’s top executive/CEO on several occasions. He was the youngest recipient of FinanceAsia’s ‘Lifetime Achievement Award’ in 2009 and was awarded Euromoney’s ‘Outstanding Achievement Award’ in 2012. In 2015, he was the recipient of Asia House’s ‘Asian Business Leaders Award’.
Nazir is a Director of Khazanah Nasional Berhad and a member of the International Advisory Board of the Blavatnik School of Government at the University of Oxford. A strong advocate of the ASEAN integration, Nazir is the inaugural Chairman of the World Economic Forum’s ASEAN Regional Strategy Group and ASEAN Regional Business Council. He led the establishment of the ASEAN Business Club, which comprises CEOs of large ASEAN multinationals, and the CIMB ASEAN Research Institute. He is also a Founding Board Member of Endeavor Malaysia, a non-profit organisation that helps spur the development of entrepreneurs, and was instrumental in the formation of CIMB Foundation, the Group’s corporate responsibility arm. He is also the Honorary President of the Malaysia-China Chamber of Commerce and a member of the Advisory Board of the Centre for Asian Philanthropy and Society.
Nazir graduated from the University of Bristol with a B.Sc. (Hons) and obtained an M.Phil. from the University of Cambridge. In 2009, he was the Chevening Fellow at the Oxford Centre for Islamic Studies.
Tan Sri Dr. Munir Majid
Chairman, CIMB ASEAN Research Institute
President, ASEAN Business Club
Tan Sri Dr. Munir worked in the UK as a university tutor and research analyst in the City before returning to Malaysia at the end of 1978, to be leader writer for the New Straits Times. He progressed to the position of Group Editor before leaving in 1986 to become Chief Executive Officer of a small merchant bank Pertanian Baring Sanwa, whose name he changed to Commerce International Merchant Bankers (CIMB), which was then transformed into one of Malaysia’s leading merchant banks. In 1993, he was invited by the Government of Malaysia to establish the Securities Commission, where he served as Executive Chairman for two terms until 1999. He was instrumental in shaping the legal and regulatory framework of the capital markets in Malaysia, particularly in establishing disclosure-based regulation. He was also responsible for drafting the country’s first code of corporate governance in the aftermath of the Asian Financial Crisis of 1997-98. He was Chairman of the Emerging Markets Committee of the International Organisation of Securities Commissions during his term at Malaysia’s Securities Commission. After leaving the Commission, he became Director of Telekom Malaysia Berhad, Chairman of Celcom (Malaysia) Berhad and Chairman of Malaysian Airline System Berhad. He was the Founder President of the Kuala Lumpur Business Club, established in 2003 and is a member of the Court of Fellows of the Malaysian Institute of Management. He is currently Chairman of Bank Muamalat Malaysia Berhad, CIMB Asean Research Institute, the Asean Business Advisory Council, Malaysia and The Financial Services Professional Board Malaysia (FSPB), as well as President of the Asean Business Club.
Tan Sri Dr. Munir obtained a B.Sc (Econ) and Ph.D in international relations from the London School of Economic and Political Science (LSE) in 1971 and 1978. He is an Honorary Fellow of LSE and continues the long association with his alma mater as Visiting Senior Fellow at the Centre of International Affairs, Diplomacy and Strategy. Tan Sri Dr. Munir is an associate of Southeast Asia Centre (SEAC) at LSE.