Australia is hopeful that the structural changes made by the country and the ASEAN nations in the aftermath of the Asian financial crisis more than 10 years ago will help mitigate the effects of the global financial crisis.
Australian Foreign Minister Stephen Smith said that the global financial crisis will have an adverse effect like slower economic growth and lack of investor confidence but expressed optimism that it will not be felt very harshly by Australia and ASEAN countries, including the Philippines because of the structural changes.
“In terms of ASEAN countries and Asia, we saw a decade and a half ago the Asian financial crisis. As a consequence of that which was felt very, very harshly in Asia are some financial structural changes and that is a good step,” Smith said in a press conference at the Hotel Sofitel.
“Will there be consequences? Yes of course there will be for Asia and Australia. At this stage we are hopeful that Australia and the Philippines will address the consequence like slower economic growth and lack of investor’s confidence. But with a bit of luck and the structural changes made by Australia and Asian countries in the aftermath of the Asian financial crisis a decade and a half ago, we’ll address the adverse consequence to some extent,” he added.
The Philippines and Australia discussed the global financial situation and underscored the need for greater cooperation on economic and financial issues, including the East Asia Summit (EAS) and Asia Pacific Economic Cooperation (APEC).
The two countries reaffirmed their strong commitment to the successful conclusion of the WTO Doha Development Agenda negotiations, including as partners in the Cairns Group.