Jakarta (ANTARA) - The results of the ASEAN Finance Ministers and Central Bank Governors Meeting (AFMGM) is expected to bolster collaboration between Bank Indonesia (BI) and the Ministry of Finance.

The AFMGM, held on August 22-25, 2023, is the second meeting after the first one held in Bali in March and is expected to confirm the commitment to collaborate in maintaining economic stability in the region.

"It is hoped that the 2nd AFMGM meeting will further strengthen collaboration between the two financial institutions, especially BI and the Indonesian Ministry of Finance," Director of the International Department of BI Iss Savitri Hafid noted in a press release in Jakarta, Tuesday.

Hafid remarked that the partnership between the Finance Minister and BI will foster trust and cooperation in the ASEAN.

The cooperation will "encourage regional economic integration to strengthen the financial system, protect the region from economic shocks and vulnerabilities", Hafid said.

The 2nd AFMGM meeting will be attended by the finance ministers and Central Bank governors from nine ASEAN countries: Indonesia, Brunei Darussalam, Cambodia, Laos, Malaysia, the Philippines, Singapore, Thailand, and Vietnam.

Moreover, in accordance with the ASEAN Leaders' Statement on the Application of Timor-Leste for ASEAN Membership in November 2022, ASEAN also invites Timor-Leste to participate as observer in the meeting series.

The series of AFMGM meetings will also be attended by representatives from six international organizations: Asian Development Bank (ADB), ASEAN+3 Macroeconomic Research Office (AMRO), International Monetary Fund (IMF), Financial Stability Board (FSB), Bank for International Settlements (BIS), and World Bank as well as strategic partners that are Australia and the European Union (EU).

The 2nd AFMGM meeting is intended to monitor and update progress on achievements in the Priority Economic Deliverables (PED) and to discuss the current issues of major concern to ASEAN member countries.

The meeting will prioritize several main agendas, such as Global Economic Update and Risks, Regional Economic Outlook and Challenges, and Policy Dialogue, which focuses on the issue of infrastructure financing and promoting sustainable financing.

The meeting series of AFMGM are also expected to produce a Joint Ministerial Statement (JMS) that records the development of various initiatives, joint agreements, and directions from the finance ministers and Central Bank governors in relation to action plans and follow-up on various cooperation agendas discussed at the ASEAN financial cooperation forum.

The three PEDs under the financial sector cooperation framework comprise efforts to encourage recovery and ensure financial and economic stability and resilience (Recovery-Rebuilding).

Next is the effort to improve payment connectivity, encourage digital and financial literacy and inclusion to support inclusive economic growth (Digital Economy), and promote transition financing to support sustainable finance and a green economy.

A cross-sectoral meeting between the finance ministers and health ministers will also be held at the ASEAN Finance and Health Ministers Meeting (AFHMM) on August 24, 2023.

"This forum is the first time in the history of ASEAN and Indonesia, as the chair of ASEAN 2023, sees the right momentum and need in ASEAN in preparing itself to face health challenges in the region," Head of the Regional and Bilateral Policy Center of the Finance Minister Yogi Rahmayanti remarked.

"This forum will intensively discuss financing gaps in ASEAN in dealing with a pandemic and proposed modalities to address these gaps. In this forum, discussions will also be directed at the status of COVID-19, health emergency challenges, and the ASEAN Response Fund," she stated.

The discussion result from the meeting agendas of the 2nd AFMGM will be realized in a cooperative effort between the Indonesian Finance Ministry and BI in maintaining economic stability in the ASEAN region through policy coordination and information exchange. Related news: Indonesia as ASEAN Chair initiated the AFMGM twice
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Translator: Katriana, Cindy Frishanti Octavia
Editor: Rahmad Nasution
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