Asean meet to focus on currency stability

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Asean meet to focus on currency stability 
The Nation: 26 Oct 2010
Asean meeting to focus on currency stability
By PETCHANET PRATRUANGKRAI
THE NATION
Published on October 26, 2010

The leaders of the 10 Asean nations will mull over measures to stabilise currencies in the region during the Asean Leaders' Summit in Hanoi this week.

Deputy Commerce Minister Alongkorn Ponlaboot said the regional currency problem was expected to be high on the summit agenda. Regional exchange rates have appreciated significantly in the past few months.

"Asean nations are export-oriented. The region must strengthen cooperation to make their currencies more stable to sustain export growth," he said.

The currencies of Asean countries, particularly Thailand, Malaysia, Indonesia and the Philippines, have appreciated sharply. The leaders are expected to share experiences and measures for restrain currencies in the region from moving too fast.

They will also consider measures to stabilise exchange rates to prevent future problems as foreign investors pour funds into the region, the key factor in currencies' appreciation.

The 17th Asean Summit and Related Summits, which will be held in Hanoi from Thursday to Saturday, will convene leaders from the Asean member states to deliberate and make decisions on key issues. They will also meet their counterparts from dialogue-partner countries to review and set out future directions for further cooperation.

According to the Asean Charter, Brunei was to have succeeded to the Asean chairmanship in 2011 and Indonesia's turn would be in 2013. But the 10 Asean leaders at the previous summit in April unanimously agreed to Indonesia's request for a swap.

Prime Minister Abhisit Vejjajiva will head Thai delegations during the summit, while Alongkorn will lead the Asean economic ministers' meeting. Deputy Prime Minister Trairong Suwankhiri will also lead Thai officials for the Asean Economic Community Council.

During the upcoming meeting, the AEC Council will work on setting up the AEC Blueprint by 2015 to ensure cooperation on trade, services, investment and logistics among Asean member states.

Another agenda item is the participation of Russia and the United States in the Asean-initiated East Asia Summit. The leaders will review the Asean foreign ministers' recommendations in July to welcome those two countries formally to join the 10 Asean member states, Australia, China, India, Japan, South Korea and New Zealand in the EAS.

Another agenda item lined up for this summit is the adoption of the Master Plan on Asean Connectivity, which will anchor the region's long-term strategy to improve the region's physical, institutional and people-to-people connections.

The Hanoi meeting will also host the first Asean-Australia Summit, which is expected to be co-chaired by Australian Prime Minister Julia Gillard. The Asean-New Zealand Commemorative Summit will also be held to mark the 35th anniversary of friendship between the region and New Zealand. Asean leaders will also join bilateral meetings with China, India, Japan, South Korea, Russia and the United Nations. The leaders will also meet with China, Japan and South Korea as the Asean+3 group.

Thailand will also have bilateral dialogue with six member states, Burma, Cambodia, Laos, Indonesia, Malaysia and Vietnam, to deal with obstructions to trade.