East Asia Monetary Cooperation:Progress and ProsPects

Since the Asian Financial Crisis 1997-98, regionalmonetary cooperation involving ASEAN + 3 (China, Japan,and South Korea) countries has made important progress,highlighted by the Chiang Mai Initiative (2000), a currencyswap agreement among these economies, and the Asian BondInitiative (2002). Meanwhile, regional economic integrationhas gained great impetus from the free trade pact betweenASEAN and China. This paper reviews the progress of EastAsia monetary cooperation and the prospects for suchcooperation to move towards greater monetary-finance