CBBH Governor Jasmina Selimović keynote speaker at the international conference in Kuala Lumpur

The Governor of the Central Bank of Bosnia and Herzegovina, Jasmina Selimović, Ph.D. opened the prestigious international conference "Central Banking" in Kuala Lumpur, Malaysia, with an introductory speech on the state and challenges of the global financial system.

In her introductory address to the world's leading central bankers, regulators and financial experts, she pointed out that the global financial system is in a period of deep transformation, marked by the accelerated development of digital money, changes in geopolitics and the growing need to strengthen institutional resilience. She pointed out that central bank digital currencies and new payment systems are redefining the way finance functions, with special reference to the growing influence of private digital currencies and the need to preserve monetary sovereignty.

Governor Selimović said that the future of the global system would depend on the decisions made nowadays, and that it is crucial for the Central Bank of Bosnia and Herzegovina to support innovations and preserve trust in the financial system, just like for others. She particularly pointed out the importance of the rapid integration of Bosnia and Herzegovina into the European financial framework, including SEPA and the development of infrastructure for instant payments, stressing that the key to success is not only in technology, but in efficient management and coordination between institutions.

In her address in Kuala Lumpur, she referred to contemporary challenges in the management of foreign exchange reserves, stressing that they represent the basis of confidence in the monetary system and a key instrument of resistance to financial and geo-economic shocks. She pointed to changes in global trade flows, the growth of geopolitical risks and the increasing importance of climate factors, which require an adapted and more resilient approach to reserve management, including currency diversification, more active portfolio management and the increased role of gold as a strategic insurance.

Speaking about the future, the Governor emphasized the importance of the responsible application of artificial intelligence in central banking, as well as, that its greatest potential lies in providing deeper analytical insights, along with the key role of human reasoning in decision making.

During the two-day conference, Governor Selimović will moderate a panel discussion of the banking regulators on international cooperation in the prevention of financial crime, and will participate in the strategic panel of Governors and Vice Governors on redefining the mandate of central banks through leadership, innovation and coordination.

On this occasion, Governor Selimović expressed her pride and satisfaction with the fact that the Central Bank of Bosnia and Herzegovina is this year's winner of the Award for initiative in the field of financial stability, which "Central Banking" will present to it at an official ceremony in London, in mid-June this year. Award winners include the Bank of England in the transparency category, the Bank of Mexico for digital transformation, and the Central Bank of the United Arab Emirates for risk management. Jerro Powell, President of the US FED, was declared the Governor of the year, and the lifetime achievement award will be presented to the former Governor of the Bank of England, Mervyn King.