Malaysia Central Banker Flags Cross-Border Risks From Digital Assets

Bank Negara Malaysia Deputy Governor Adnan Zaylani Mohamad Zahid identified digital assets as a cross-border risk for central banks, saying connected financial systems can create dependencies that are difficult to assess separately.

Zahid made the remarks Oct. 8 in Kuala Lumpur at the 11th ASEAN Central Bank Heads of Internal Audit Network meeting, a gathering of central-bank audit leaders. He placed digital assets within a broader discussion of risks that can extend across national borders.

“Digital assets and interconnected financial ecosystems create risks and dependencies that may not be fully understood in isolation,” Zahid said.

His remarks addressed five areas: cross-border risks, uncertainty, data governance, artificial intelligence and resilience. He discussed how internal audit teams can use technology while preserving independent professional judgment. He did not announce a crypto-specific policy or initiative.

The meeting’s program covered artificial intelligence audits, data management, cybersecurity readiness, recovery from cyber threats and the Global Internal Audit Standards.