Asean integration to boost members’ economies — IMF
Kathleen A. Martin (The Philippine Star) - May 14, 2014 - 12:00am

MANILA, Philippines - The upcoming regional integration is expected to provide a boost to the Association of Southeast Asian Nations’ (ASEAN) member economies, an official from the International Monetary Fund said yesterday.

“What the regional integration will bring is it is going to help increase the productivity in the region,” Romain Duval, division chief for regional studies at the IMF’s Asia department, said in a forum held in Makati City.

“But there will be more volatility in terms of growth because there is more propagation of shocks,” he continued.

The IMF, in its latest Regional Economic Outlook for Asia and the Pacific, has forecast the economic growth in the ASEAN region to slow down to five percent this year from the 5.1-percent expansion achieved in 2013.

Growth in the region is foreseen to further accelerate to 5.3 percent next year, the IMF has said.

The 10 member states of the ASEAN since 2007 have been preparing for the launch of its integrated economic community next year. The region’s goal is to create a highly-competitive single market that would boast of an equitable economic development.

Duval recounted that since the economies would be more integrated, for example, in the trade side, a shock occurring in one of the countries may easily spill over to the others.

 â€œWith this in mind, there should be more regional financial safety nets… and also for countries to join global financial safety nets,” he said.

Economies in the region should continue sustaining strong macroeconomic fundamentals, maintain healthy external payments position, and keep relatively high level of international reserves as added buffers to financial shocks, Duval further added.

The ASEAN already has put in place facilities meant to assist member countries facing liquidity shocks such as the $2-billion ASEAN Swap Arrangements and the $240-billion Chiang Mai Initiative Multilateralization Fund.

Aside from those, the 10-member bloc has also established the ASEAN Integration Monitoring Office which keeps track of the regional economic integration efforts and the ASEAN+3 Macroeconomic and Research Office which is the surveillance unit of the CMIM.

ASEAN ASIA AND THE PACIFIC ASSOCIATION OF SOUTHEAST ASIAN NATIONS CHIANG MAI INITIATIVE MULTILATERALIZATION FUND DUVAL INTEGRATION MONITORING OFFICE INTERNATIONAL MONETARY FUND MACROECONOMIC AND RESEARCH OFFICE MAKATI CITY REGIONAL ECONOMIC OUTLOOK
  • Latest
  • Trending
Latest
Are you sure you want to log out?
X
Login

Philstar.com is one of the most vibrant, opinionated, discerning communities of readers on cyberspace. With your meaningful insights, help shape the stories that can shape the country. Sign up now!

SIGN IN
or sign in with
Read and share the latest news
whenever and wherever you are.
Top Stories
Features the most relevant stories,
exclusive content, analyses and special reports.
As It Happens
Get bite-sized highlights and up-to-date
information as the news breaks.
Latest
View the most recent
stories of the day.
Log-in
Lorem ipsum dolor sit amet,
consectetur adipiscing elit.
Quisque justo est, auctor vel ullamcorper.
Log-in
Lorem ipsum dolor sit amet,
consectetur adipiscing elit.
Quisque justo est, auctor vel ullamcorper.
How to follow As It Happens stories
STEP 1
Click the story in the As it Happens section.
How to follow As It Happens stories
STEP 2
Click "Follow Story" for updates on the news.
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Aliquam eu metus vitae felis tincidunt finibus ut id sapien. Integer volutpat dui eu malesuada dignissim. Sed varius justo nulla, fringilla convallis sem porta sed.
How to follow Author
STEP 1
Click on the author's name in the article.
How to follow Author
STEP 2
Once you click on the author's name, you will be
brought to the Authors page. Click "Follow Author"
to stay updated on the author's works
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Aliquam eu metus vitae felis tincidunt finibus ut id sapien. Integer volutpat dui eu malesuada dignissim. Sed varius justo nulla, fringilla convallis sem porta sed.
How to follow Tags
STEP 1
Click on a tag in the article.
How to follow Tags
STEP 2
When you click on a tag, it will take you to the
dedicated tag page where you'll see the article
viewed, along with other stories with that tag.

Click the "follow tag" button to stay updated on
the topic.
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Aliquam eu metus vitae felis tincidunt finibus ut id sapien. Integer volutpat dui eu malesuada dignissim. Sed varius justo nulla, fringilla convallis sem porta sed.