2010
(Issue No. 135)
• Hire Purchase Rescheduling : Does It Really Benefit the Consumer?
Abdul Razak Hussain and Dr. Nurwati Ashikin Ahmad-Zaluki
• Risk Roundtable Forum on Lessons of Managing Risks During the Global Financial Crisis – the Malaysian Bank Experience : Summary of Proceeding
Dato’ Muhammad Ibrahim (Bank Negara Malaysia), Dato’ Charon Wardini Mokhzani, Mr Daniel Viets, Mr Paul Norton, Mr Nik Mohd hasyudeen Yusoff and Mr John Zinkin.
• Are Money Disturbances and Fiscal Deficits Inflationary? Empirical Evidence from Malaysia
Associate Professor Dr Tan Juat Hong
• Dynamics of the Accounting Profession and Service Quality of Health Tourism in Malaysia
Professor Dr Tan Hui Boon and Associate Professor Hung Woan Ting
Synopsis
Hire Purchase Rescheduling : Does It Really Benefit the Consumer?
Abdul Razak Hussain and Dr. Nurwati Ashikin Ahmad-Zaluki
After 54 years of independence, the Malaysian banking industry has developed quickly not only in marketing concepts, book-keeping, technology, new product development and innovation, but also in approach to risk and assets quality management. These developments have not only benefited consumers as a whole, but also brought up new issues to be addressed and resolved. One of the main focuses in consumer credit is in hire purchase financing. On average, hire purchase receivables have contributed more than 15% towards the overall total consumer banking loans in Malaysia. Despite being highly regulated and closely monitored by Bank Negara Malaysia, there are still issues, such as signing blank agreements, forced reposession, unauthorised refinancing and rescheduling of hire purchase accounts, to be addressed. In this article, the writers discuss the issue of rescheduling hire purchase accounts in protecting consumer needs.
Risk Roundtable Forum on Lessons of Managing Risks During the Global Financial Crisis – the Malaysian Bank Experience : Summary of Proceeding
Dato’ Muhammad Ibrahim (Bank Negara Malaysia), Dato’ Charon Wardini Mokhzani, Mr Daniel Viets, Mr Paul Norton, Mr Nik Mohd hasyudeen Yusoff and Mr John Zinkin.
The Risk Roundtable Forum 2010, with the theme “The Lessons of Managing Risks during the Global Financial Crisis – the Malaysian Banks’ Experience’, was held in Kuala Lumpur on 12 October 2010. Organised by Institut Bank-Bank Malaysia (IBBM) in collaboration with the Asian Institute of Finance (AIF), the Roundtable Forum brought together a panel of six experts to address key issues relating to, among others, challenges facing the Malaysian banking sector, the role of regulation in mitigating risks, and possible risks going forward, such as development of asset price bubbles. This paper summaries the views expressed by the panellists as well as the discussion that arose from the floor.
Are Money Disturbances and Fiscal Deficits Inflationary? Empirical Evidence from Malaysia
Associate Professor Dr Tan Juat Hong
The study uses the VAR model to investigate the responses of domestic inflation to monetary and fiscal policies, with output as the scale variable. The results show that domestic inflation responds positively to monetary policy shocks but not to fiscal deficits. If one assumes the velocity of money as constant, then it underscores that inflation is a monetary phenomenon and excessive money supply spawns inflation. Thus, monetary policy constitutes a more pertinent macroeconomic instrument to control spiralling inflation.
Dynamics of the Accounting Profession and Service Quality of Health Tourism in Malaysia
Professor Dr Tan Hui Boon and Associate Professor Hung Woan Ting
Tourism has been a substantial contributor to the economic growth of Malaysia. Following the 1997 Asian financial crisis, the government considers health tourism as one of the leading economic growth factors. While it has put in place various measures to promote this service sector and to face up with stiff competition from other countries, hospitals targeting to expand their customer base in both local and global markets are aggressively gearing themselves to deliver quality services and demonstrate quality assurance for their healthcare services. It is inevitable that quality initiatives in hospitals are critical for success and it is now the way forward. With such phenomenon, accountants, who typically assume the role of information provider and business adviser, are expected to respond to such quality call by satisfying management’s need for quality-related information. They are expected to make available detailed financial and non-financial information that is useful and relevant for management to the committment of both internal and external stakeholders, but also in aligning the interests of these parties and consequently enhancing business performance. This paper discusses the dynamics of the accounting profession when facing with such challenges.
