KUALA LUMPUR: A resolute implementation of the Madani Economy policy must be made to free Malaysia from the middle-income trap so that it can become a high-income country, said Bank Negara Malaysia (BNM).
Governor Datuk Shaik Abdul Rasheed Abdul Ghaffour said the economy was at a crossroads, and today's economic and financial policies would determine the direction and trajectory of the country's future development.
"The gap between the rich and the poor is widening.
"This needs to be addressed and balanced with the development of a society that is inclusive, fair and equitable that maintains social integrity," Rasheed said at the iTekad Cooperation Networking Council event here yesterday.
"BNM aims is to develop a progressive, robust, transparent and responsible financial sector and that is able to contribute to a more fair, equal, meaningful and inclusive progress for the people of this country," he added.
Rasheed said the iTekad programme was developed by highlighting social finance as an important component of Malaysia's financial ecosystem to catalyse the development of a more balanced socioeconomy.
He said social finance emphasised on creating a positive social impact apart from generating financial returns.
Since its launch last year, the iTekad initiative has grown to include 11 financial institutions, more than 50 implementing partners and has benefited more than 3,000 participants.
Rasheed said iTekad had mobilised more than RM40 million in social finance funds, benefiting its participants.
"Social finance is able to give a new dimension to the socio-economic development of the people by applying the principles of an inclusive financial system, considering the long-term impact and uniting all stakeholders," he said.
"Bank Negara remains committed to highlighting social finance in the financial ecosystem, including leading the development of the next iTekad programme," he added. — BERNAMA