Amid the severe impacts of the Covi-19 pandemic, ASEAN countries have expressed their commitment to deepening financial and banking cooperation.

AFMGM meeting. Photo: VGP.

The statement was made at the press conference announcing outcome of the online sixth ASEAN Finance Ministers’ and Central Bank Governors’ meeting (AFMGM) held on October 2 in Hanoi.

At the meeting, financial ministers and central bank governors of ASEAN countries discussed the global and regional economic situation as well as measures to mitigate Covid-19 impacts and boost economic recovery.

In line with the theme “Cohesive and Responsive ASEAN” of Vietnam’s 2020 ASEAN Chairmanship, the Ministry of Finance and the State Bank of Vietnam have proposed two priority initiatives themed “Sustainable finance in ASEAN” and “Promoting regional payment connectivity.”

The move has received positive responses from ASEAN members, as they said the initiatives would promote greater integration and connectivity in finance within the bloc, a key step to boost ASEAN’s institutional capabilities and adaptability.

Notably, there has been significant progress in efforts to boost trade and investment facilitation, integration, financial inclusion, payment and services, among others, within ASEAN.

AFMGM press conference. Photo: VGP.

ASEAN also affirmed its priorities tin maintaining the movements of goods and services, and stressed cooperation is the key to help the regional association overcome the pandemic and aid economic recovery.

The bloc would continue to work with international financial institutions to promote sustainable economic growth and stable financial environment in the region.

SBV Governor Le Minh Hung said the Vietnam’s central bank remains steadfast in promoting a stable macro-economic environment and refraining from using exchange rate policies for unfair gains in international trade.

Vietnam's Minister of Finance Dinh Tien Dung (left) and SBV Governor Le Minh Hung Photo: VGP.

On the same day, ASEAN financial ministers and central bank governors also held a meeting with business councils, including the ASEAN Business Advisory Council (ASEAN BAC), the US – ASEAN Business Council (USABC) and the EU – ASEAN Business Council (EU-ABC).

Sustainable financial promotion, digital transformation in finance – services and financial integration within ASEAN topped the agenda of the meeting.

Vietnamese Minister of Finance Dinh Tien Dung pointed to the necessity of ensuring efficient allocation of public funds and mobilizing resources from the private sector and donors for sustainable development.

Mr. Dung also informed that Vietnam is pushing for reforms in state expenditures to ensure sustainable development of public health.

Meanwhile, Vietnam’s Ministry of Finance is applying new technologies in various fields, especially in tax management and customs processes to support enterprises.

SBV Vice Governor Nguyen Thi Hong shared Vietnam’s experience in promoting digital transformation in the banking system and financial inclusion.

Delegates at the meeting agreed to enhance cooperation between policy makers and the business community to help regional and global economies overcome the Covid-19 pandemic and later push for sustainable economic growth.