Objective - The objective of this study is to examine the relationship between capital regulation and risk-taking by the banks of Pakistan.  Design - This study was conducted on all the commercial banks of Pakistan and data were collected from the year 2005 to 2016.  Findings - This study concluded the significant positive relationship between regulatory capital and risk-taking by banks in Pakistan. The findings of this study play a key role in the implementation of capital regulations in the banks of developing countries.  Policy Implications - In the light of this study, the regulators must revise their implementation process of the Basel Accord capital regulations in the banks of developing countries. The prime intention of regulators are only on to maintain the minimum capital ratios but must be conscious of other important elements of capital regulation implications.  Originality - This study is one of the first attempts that investigated the crucial role of regulatory capital towards risk-taking in the Pakistani context.

The financial crisis of 2007-09 was converted the focus of researchers and regulators toward bank risk-taking and this study is also analyzed the private ownership structure impact on Pakistani bank’s risk-taking. This study selects the all Pakistani private banks for investigation and data is collected from financial statements from 2005 to 2016. Most of the past studies found a negative impact of private ownership structure on bank risk-taking and this study is also indicated the negative relationship between private ownership and bank risk-taking. On the other, non-performing loans are double than the international standards that highlighted the owner’s attention toward high risky investments for high return. Thus, this study suggests that check this relationship with other factors that forced the owner’s behavior toward risk.

The households’ savings in Malaysia have shown a deteriorating trend that negatively impacts their financial security. The Financial Inclusion and Capability Study of BNM (2016) indicates that merely 6 percent of Malaysians could survive for more than six months and 18 percent up to three months if they lose their main source of income. Thus, it is imperative to examine the drivers of future savings of Malaysian households. A sample of 1,106 bank customers in three cities of peninsular Malaysia was recruited, and the descriptive statistics, correlation analysis, and Seemingly Unrelated Regressions (SUR) were employed. The results reveal that about 25 percent of households are not likely to make any changes in their savings profile in various financial and physical assets. The drivers of future saving are found to be socio-demographic parameters, such as age, education level, the number of working members in the household, and income, and other parameters, such as the percentage of income saved, and the period of the saving plan, which have a significant relationship with the change in future savings of the households. The policy implications of the findings are also presented.

The Industry Revolution 4.0 (IR.4.0) presents a significant impact on work and lifestyle of most people in Malaysia especially in the banking industry. Industries that are adapting to advance technology such as VR (virtual reality), Internet of Things (IoT), cloud computing, data analytics, artificial intelligence and machine learning will bear changes through physical, digital and biological aspects. The banking industry will need to go through with these three aspects of transformation as its need to be relevant and quickly acquainted to serve their new customer demands besides protecting against risks in cybersecurity, fraud and money loundering in the financial transactions. In order for these banks to stay relevant, both employees and management must be able to bear the changes. To ensure the success in embracing the change, it is suggested in this paper that banks must use a new model of leadership to steer the institutions direction towards the right path and accelerate its transformation. There are four pillars comprises of disruptive driver, human touch, sense of urgency and continuous learning that will constitute the new leadership model called “Leadership 4.0” suggested to banks that will be discussed in this paper.