In the framework of ASEAN financial cooperation in 2020, the ASEAN Finance and Central Bank Deputies’ Meeting (AFCDM) was held online on October 1.

Deputy Minister of Finance Tran Xuan Ha and Deputy Governor of
the State Bank Nguyen Thi Hong chaired the meeting. 

Attending the meeting were representatives ofDeputy Finance Ministers and Deputy Governors of the State Banksof 10 ASEAN member states and Deputy Secretary General of ASEAN. This wasan important meeting, preparing for the sixth ASEAN Finance Ministers’ and Central Bank Governors’ Meeting (AFMGM) to be held on October 2, 2020. The Vietnamese delegation was co-chaired by Deputy Minister of Finance Tran Xuan Ha and Deputy Governor of the State Bank of Vietnam Nguyen Thi Hong at Le Hong Phong International Convention Center in Hanoi.

At the meeting, the Deputy Finance Ministers and the Governors of the Central Banks discussed the outcomes of cooperative initiatives within the framework of the ASEAN monetary-financial integration roadmap and other regional financial cooperative initiatives. In addition, they also provided updates on the regional economic situation, the results of the G20 Finance Ministers and Central Bank Governors’ meeting, and preparations for ASEAN 2021, and considered the approval of the draft Joint Statement of the sixth AFMGM.

Although the global and regional economy have been hit hard by the Covid-19 pandemic, ASEAN financial-monetary cooperation has madeimportant strides forward in the implementation of its monetary-financial integration roadmap to realize targets in the 2016-2025 comprehensive plan on financial integration, and strengthening policy dialogue and financial collaboration with partner countries.

The working groups on capital market development, financial services liberalization, ASEAN Insurance Forum have made great efforts to promote cooperation activitiestowards the set goals.

In efforts on ASEAN capital market development, the working group on capital market development has continued to promote finance sustainably via the development of regional capital markets, the application of ASEAN standards in financial sustainability, including standardizing documents on infrastructure funding.

The working group’s ASEAN sustainable finance report has played an important role in promoting sustainable finance in the region via the development of environmentally-friendly capital market products, especially the issuance of green bonds, social bonds, and sustainable bonds under the newly issued ASEAN Green Bond Standards. Recommendations in the report will serve as a reference for ASEAN member states to devise policies.

With the aim of fully removing barriers to financial services (insurance, securities and banking)in ASEAN by 2025, the working group on financial services liberalization has deployed many rounds of negotiationsand completed eight rounds of negotiation on opening financialservices. The ninth round is expected to be completed in 2021. After 2021, ASEAN will build a Framework Agreement on Services, including wider commitments.

The ASEAN Insurance Forum is the forum of the ASEAN Insurance Managers' meeting and Working Group on the ASEAN Financial Services Liberalization to collaboratewith the private sector on a framework for ASEAN insurance cooperation and integration, towards further liberalization of the insurance sector by 2025 to promote ASEAN trade and investment.

In 2019, the ASEAN Insurance Forum adopted a Roadmap for the ASEAN Insurance Integration Framework, with goals of liberalising ASEAN insurance servicesand opening financial service markets in 2021.

ASEAN finance and central bank deputies also discussed the results of cooperation in ASEAN financial integration and cooperation processes, and agreed to approve the working groups' reports, which will be submitted to the sixth AFMGM, heldon October 2, for consideration.