Asia-Pacific agrees on trade insurance strategy

Asia-Pacific agrees on trade insurance strategy

TOKYO (AFP): A group of Asia-Pacific countries agreed yesterday to cooperate in expanding government support for trade insurance in the region, officials of Japan's international trade and industry ministry said.

Government officials from seven countries -- Australia, Indonesia, Japan, the Philippines, South Korea, Thailand and the United States -- also agreed to ask other members of the Asia- Pacific Economic Cooperation (APEC) forum to participate, the officials said.

The decision came on the last day of a two-day meeting on trade insurance.

Under the agreement, the countries will create a framework aimed at widening the application of government-led insurance for trade by the private sector in the region, the officials said.

"The government role in trade insurance is vital," a ministry official said.

"We will ask other APEC members to join our framework, which will directly contribute to APEC's efforts to liberalize trade and investment."

The seven countries also agreed to exchange information on trade insurance systems, while they are to ask other countries in the region to clarify trade insurance regulations, the official said.

He said the expansion of the agreement may be discussed during the next summit of APEC leaders in the Philippines in November.

APEC groups Australia, Brunei, Canada, Chile, China, Hong Kong, Indonesia, Japan, Malaysia, Mexico, New Zealand, Philippines, Papua New Guinea, Singapore, South Korea, Taiwan, Thailand and the United States.