Asian Monetary Fund to be studied by the Asian Central Banks
July 10, 2007

The First Round Table Discussion on Asian Monetary Fund concluded today that the establishment of AMF is a complex task which requires a systematic study by the Central Banks of the Greater Asia. Twenty-seven delegates from the Central Banks and Parliaments of 16 member states agreed to consult with their respective governments on the establishment of a structured mechanism of study on AMF and other economic cooperation. 

The two-day Round Table Discussion which was chaired by the Vice Governor of the Central Bank of IR Iran was the first round of the consultation required by the APA members from the APA President last November in Tehran.

A working paper prepared by the APA Secretariat and presented to the meeting, suggested that a structured mechanism could be established in order to provide “a forum for consultations among member states by highly qualified professionals from public and private sectors to look into the most promising areas of economic cooperation among Asian countries.” The proposed organization would “explore measures to bring greater integration to human and natural resources of states in Asia”.

“Many delegates reiterated the Working Paper's emphasis that establishing AMF is a multi-faceted and complex task, likely to face many political, economic, and organizational challenges.” the meeting’s Summary Record reads. “Therefore, pursuing the idea needs to be approached with a great deal of care. Some delegates suggested that focal points from the Central Banks of the APA Members may establish a forum for exchanging views on AMF, particularly through the use of video-conferencing and Internet.”

“Many delegates regarded the Working Paper prepared by the Secretariat as a good basis to further study on the idea of an AMF that can complement the IMF.” They “underlined the need for taking advantage of the vast and long experience of IMF and to complement its activities in Asia, rather than to compete with it. By the same token, some delegates stressed that further studies on AMF can take stock of many successful financial arrangements in Asia and beyond. Lessons learned from the management of 1997 Asian financial crisis in context of bilateral and multilateral cooperation as well as the balance of payment support under the Chiang Mai Initiative (CMI) and efforts to develop capital markets under the Asian Bond Market Initiative were discussed.”

Delegations and representatives from Afghanistan, China, India, Indonesia,  Iran,  Jordan, Republic of Korea, Kuwait, Pakistan, Philippines, Russia, Saudi Arabia, Sri Lanka, Tajikistan, Thailand and Turkey were present at the meeting.

The Secretariat requested the Member Parliaments and their relevant Governmental experts to transmit their views on the Working Paper's suggestion regarding the establishment of AECO to the Secretariat by mid-August 2007, so that the issue could be further considered in the APA Round Table Discussion of the whole scheduled for 26-28 August.

To read the meeting's Summary Record and other related documents visit Documents >