The remaining international financial system does not suit the very young or the economies of developing countries, says Ma.
Jack Ma, the now retired founder of Alibaba Group, spoke to a crowd of bankers and regulators at the Bund Summit in Shanghai recently about the role digital currencies are likely to play in the future global financial system:
“The digital currency could create value and we should think about how we can use it to create a new kind of financial system.”
He meant that The current financial system of the Basel Accords is too conservative and does not fit China’s growing economy:
“After the Asian financial crisis, risk management highlighted in the Basel Accords focused only on risk management, not development, and opportunities for young people and developing countries are rarely considered.”
The Basel Accords provide for international regulation for banks in order to reduce systemic risk in the global economy. The standards became particularly strict with the approval of Basel III in 2008 in response to the global financial crisis.
After Ma announced her resignation in 2018, she said she would be teaching again. Despite Ma’s departure, Alibaba continued to grow to become one of the largest companies in the world by market capitalization.