These were the most important events chaired by Bank Indonesia (BI) and the Indonesian Ministry of Finance within the framework of the ASEAN financial and monetary cooperation in 2023, when the nation holds the ASEAN Chairmanship.

SBV Deputy Governor Pham Tien Dung (back row, second from right) and other central bank and finance officials of ASEAN pose for a group photo at the meetings in Bali, Indonesia.

With the theme “ASEAN Matters: Epicentrum of Growth” for the ASEAN Year 2023, the BI and Finance Ministry of Indonesia informed some focuses of regional financial and banking cooperation, namely reconstruction, digital economy, and sustainable development.

On behalf of the SBV, Dung highly valued the proposals by the BI and Finance Ministry of Indonesia to deal with urgent issues facing countries and devise long-term orientations towards sustainable growth in the region.

Assessing the ASEAN banking integration outcomes, central bank and financial officials recognized efforts by the ASEAN Senior-Level Committee (SLC) on banking integration and the working committees in actively coordinating and effectively implementing cooperation initiatives. They also gave directions to accelerate moves to achieve targets of the ASEAN Economic Community Blueprint 2025.

The Vietnamese official applauded the working committees’ outcomes, asking them to consider the review plans for the set targets for 2025 and prepare for making plans for the 2025 - 2035 period.

He called on the Working Committee on Capital Account Liberalization (WC-CAL) to increase discussions and further share information about the situation of capital flows and the application of macro-prudential policies in member countries, which is a highly important issue amid many risks and uncertainties facing global financial conditions. Meanwhile, the Working Committee on ASEAN Banking Integration Framework (WC-ABIF) should look into lessons for risk inspection, supervision, and governance in the regional banking system following some recent bank failures in the US and Switzerland.

The Deputy Governor welcomed the activities and initiatives carried out by the Working Committee on Payment and Settlement Systems (WC-PSS) to build a cross-border payment network and consider the establishment of a multilateral payment mechanism in ASEAN.

As part of the meetings, the central bank governors and finance ministers of ASEAN, representatives of the ASEAN Business Advisory Council (ASEAN ABAC), the U.S. - ASEAN Business Advisory Council (US - ASEAN BAC) and the E.U. - ASEAN Business Advisory Council (E.U. - ASEAN BAC), along with managing directors of big financial institutions in the region discussed challenges related to digital economy, supply chains, climate change, inflation, and geopolitical tensions.

Source: VNA