ASEAN Aligns Policy Tools to Navigate Global Uncertainty
ASEAN Aligns Policy Tools to Navigate Global Uncertainty
Jakarta. ASEAN policymakers reaffirmed their readiness to deploy coordinated policy measures and deepen regional cooperation to safeguard stability and sustain growth, as global pressures, from geopolitical tensions to volatile capital flows, continue to weigh on the outlook.
The message emerged from the 13th ASEAN Finance Ministers’ and Central Bank Governors’ Meeting (AFMGM) held on April 10, where Bank Indonesia Deputy Governor Filianingsih Hendarta represented Bank Indonesia.
Despite rising external risks, ASEAN’s economy remains resilient, supported by steady domestic demand and investment, officials said.
“ASEAN is ready to take the necessary policy actions and strengthen cooperation with strategic partners to maintain stability and promote sustainable growth,” policymakers said in a statement released by Bank Indonesia.
Policymakers agreed on a set of strategic steps to enhance regional financial cooperation, including strengthening financial markets, accelerating cross-border payment connectivity, and improving financial health among the population.
ASEAN also introduced its Finance Sectoral Plan 2026–2030 as a roadmap toward the ASEAN Community Vision 2045, alongside the rollout of Project Revive aimed at improving governance, structure, and processes in financial sector cooperation.
“The success of Project Revive will depend on the strong commitment of all ASEAN members, including ensuring that the new cooperation framework effectively addresses strategic issues such as macroeconomics, financial system stability, and regional risks,” Filianingsih said.
Under the Philippines’ 2026 chairmanship, the meeting endorsed three Priority Economic Deliverables in the financial track: developing sustainable and resilient capital markets, accelerating regional payment connectivity, and strengthening financial health as a new pillar of financial inclusion.
“These initiatives are expected to drive more inclusive growth, expand financial access, and improve welfare across the region,” the statement said.
On financial integration, ASEAN reported progress in refining the ASEAN Banking Integration Framework (ABIF) through updated guidelines, strengthening the Capital Account Liberalisation framework, and expanding Local Currency Transaction (LCT) usage.
The bloc also welcomed a new ASEAN Swap Arrangement agreement to bolster its regional financial safety net, aimed at strengthening external resilience, supporting financial integration, and ensuring adequate foreign exchange reserves to maintain market stability.
Meanwhile, cross-border payment connectivity continued to expand, supporting financial inclusion while reinforcing safeguards against fraud and scams.
In sustainable finance, ASEAN is pushing to mobilize both public and private funding, expand access to climate financing, and strengthen member capacity to support the transition toward a low-carbon economy.
The meeting was chaired by Philippine Finance Secretary Frederick D. Go and Bangko Sentral ng Pilipinas Governor Eli M. Remolona Jr., and attended by all ASEAN member states. Singapore, as ASEAN Chair for 2027, will host the next AFMGM.
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