Illustrative Image (Photo: VNA)Jakarta (VNA) – The ASEAN 3 Finance and Central Bank DeputiesMeeting (AFCDM 3) took place in Indonesia from March 29-30 to discuss theregional macroeconomic situation and the progress of implementing financialcooperation initiatives. Representatives of the Ministry of Finance and the State Bank of Vietnam attended the event.
Under the co-chair of Indonesia and Japan, deputyministers of finance and deputy governors of ASEAN 3 central banks discussed the regional macro economic situation and the pace of the implementation of the financial cooperation initiatives.
Regarding regional macroeconomics, the ASEAN 3Macroeconomic Research Office (AMRO) assessed that economic growth in theASEAN 3 region in 2022 recorded a recovery after the COVID-19 period, mainlyfrom increased domestic demand.
Regional growth is estimated at 3.2%, of which China,Japan and the Republic of Korea (RoK) achieved 2.6% and ASEAN member states at5.6%.
In 2023, the region continues to face geopoliticalrisks, inflationary pressures and disruptions to global supply chains. However,China's recovery could provide an impetus for overall growth in the region.
AMRO has forecast regional growth in 2023 will reach4.4% (higher than the 3.2% in 2022), of which China, Japan and RoK’s growth rates wereforecast at 4.4% and ASEAN at 4. 6%.
Notably, China's growth is forecast to reach 5.3%,the highest among the three countries, while Vietnam will have thebest growth in the ASEAN region with a rate of 6.2%. AMRO hasrecommended that countries continue to implement tight monetary policies tocontrol inflation and stabilise the macroeconomy.
The conference updated the operational status of theAsian Bond Development Market Initiative (ABMI), one of the two pillars ofASEAN 3.
Delegates spoke highly of theefforts by ABMI working groups in encouraging the development of the localcurrency bond market through measures to promote the supply and demand of bondsin local currency, strengthening the legal framework, improving infrastructureand providing technical assistance to countries to develop domestic bondmarkets.
The outcomes of the meeting will be reported to theASEAN 3 Finance Ministers and Central Bank Governors Meeting which is scheduledfor early May in the RoK./.
