CMI

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CMI the (East) Asian Monetary Fund
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ASEAN 3 Finance Initiatives

• Regional Financing Arrangement
• Chiang Mai Initiative
• Macroeconomic Surveillance
• Economic Review and Policy Dialogue

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Chiang Mai Initiative
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How CMI works

• Currency Swap Repo
• 10 can be drawn without linkage to IMF
• Complement/supplement existing international
  financing facilities

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Progress

• First phase May 2000 May 2004
• BSA negotiations
• 16 BSAs USD 36.5 billion
• Second phase May 2004 May 2006
• CMI Review
• Increase size 2-way swaps (BSAs USD 75
  billion, ASA USD 2 billion)
• Integrate surveillance into CMI
• 20 drawn without IMF linkage

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Progress

• Third Phase May 2006 Present
• Multilateralization of BSA network
• Self-managed reserve pooling arrangement
• Surveillance
• Reserve eligibility
• Size of commitment
• Borrowing quota
• Activation mechanism

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(No Transcript)
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Economic Review Policy Dialogue
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Economic Review Policy Dialogue (ERPD)

• ASEAN3 macroeconomic surveillance
• Voluntary participation
• Self prepared economic reports based on common
  template
• Interactive discussion at the Deputies level
• Specific issue study
• Group of Experts
• ETWG

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Towards a Regional Monetary Fund?
EAMF
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Thank You