MSIA'S FINANCIAL SYSTEM REMAINS SOLID DESPITE GLOBAL CRISIS

KUALA LUMPUR, Nov 12 (Bernama) -- The overall financial system is solid
and sound even though the financial market in Malaysia has been affected by the
global financial crisis, Bank Negara (Malaysia's Central Bank) governor, Dr Zeti
Akhtar Aziz, said here Tuesday.

"Liquidity is ample in the domestic financial system," she said in her
speech at the launch of the International Syariah Research Academy here Tuesday.

She said the banking institutions were operating with strong capital and
liquidity buffer and had continued to provide financing to the economy.

Asked to elaborate on the global financial crisis' effects on Malaysia, she
said: "Of course our financial markets are affected."

"We see, for example, although the stock market has stabilised and improved
in October when the global meltdown was across-the-board, we were affected (but)
less than many others," she said.

Zeti said Malaysia was not insulated from the global development.
"The spillover effects of the financial crisis from many of the developed
countries are global," she said.
-- BERNAMA