Indonesia's Chairmanship In ASEAN Officially Holds Second AFMGM Meeting This Week

Illustration (Photo: Doc. Antara)

JAKARTA - Continuing the first ASEAN Finance Ministers and Central Bank Government Meeting (AFMGM) meeting in Bali last March, this week, August 22 to 25, a meeting between the Ministers of Finance and the Governors of the Central Bank in ASEA was held again.

The second AFMGM meeting, which is also a closing meeting, will emphasize the realization of commitment and collaboration to maintain regional economic stability.

The 2nd AFMGM meeting will be attended by the Minister of Finance and the Governor of the Central Bank of nine ASEAN countries namely Brunei Darussalam, Cambodia, Indonesia, the Democratic People's Republic of Laos, Malaysia, the Philippines, Singapore, Thailand, and Vietnam.

In addition, in accordance with the ASEAN Leaders' Statement on the Application of Timor-Leste for ASEAN Membership in November 2022, ASEAN also invited Timor-Leste to participate as observers in this series of meetings.

The AFMGM series of meetings will also be attended by representatives from six international organizations, namely the 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 (WB) as well as strategic partners namely Australia and the European Union (EU).

This AFMGM meeting aims to monitor and update the progress of achievements in the Priority Economic Deliverables (PED) and to discuss the latest issues that are of major concern to ASEAN member countries.

This meeting will focus on several key agendas, such as the Global Economic Update and Risks, Regional Economic Outlook and Challenges, as well as the Dialogue Policy which focuses on the issue of Infrastructure Financing and Encouraging Sustainable Financing.

The series of AFMGM meetings are also expected to generate Joint Ministerial Statements (JMS) which recorded the development of various initiatives, mutual agreements, as well as directions from the Ministers of Finance and Governors of the Central Bank regarding action plans and follow-up to various cooperation agendas discussed at the ASEAN financial cooperation forum.

The three PEDs under the framework of financial sector cooperation consist of (i) encouraging recovery and ensuring financial and economic stability and resilience (Recovery-Rebuilding); (ii) advancing payment connectivity, encouraging digital financial literacy and inclusion to support inclusive economic growth (Digital Economy); and (iii) promoting transition financing to support sustainable finance and a green economy (Sustainability).

Cross-sectoral meetings between the Minister of Finance and the Minister of Health will also be held in the ASEAN Finance and Health Ministers Meeting (AFHMM) forum on August 24, 2023.

This forum is the first time in ASEAN and Indonesia's history as the holder of ASEAN 2023 chairman, seeing the right momentum and needs in ASEAN in preparing for health challenges in the region. This forum will discuss intensively the financing gap in ASEAN in dealing with the pandemic and the proposed modalities to overcome this gap," said Head of the Regional and Bilateral Policy Center, Ministry of Finance, Yogi Rahmayanti.

"At this forum, discussions are also directed at COVID-19 status, health emergency challenges and the ASEAN Response Fund," he continued.

The results of discussions from the agendas of the 2nd AFMGM meeting will be realized in an effort to cooperate between the Ministry of Finance of the Republic of Indonesia and Bank Indonesia in maintaining economic stability in the ASEAN region through coordination of policies and information exchange.

The partnership between the Ministry of Finance and Bank Indonesia has fostered trust and cooperation among ASEAN member countries, encouraging regional economic integration to strengthen the financial system, protecting the region from economic shocks and vulnerabilities. It is hoped that the 2nd AFMGM meeting can further strengthen collaboration between two financial institutions, especially BI and the Indonesian Ministry of Finance," said BI International Department Director, Iss Savitri Hafid.

In addition to the main meeting, side events were also held in the series of meetings, namely: (i) Business Matching & Exploration Session between MSMEs and Fintech; (ii) Seminar on Energy Efficiency Mortgage (EEM) Development throughout ASEAN Countries; (iii) Energy Transition Mechanism: ASEAN Country Updates; (iv) Exploring the Establishment of ASEAN Treasury Forum (ATF) which is a new initiation of the Ministry of Finance of Indonesia; (v) Seminar on Renewable Energy Manufacturing: Opportunities for Southeast Asia which is the collaboration between Asian Development Bank (ADB) with the Ministry of Finance; (vi) and High-Level Dialogue: Promoted Sustainable Infrastructure Development by Enhancing Collaborative Between Governments and Private Sector which will be attended by seven ASEAN State Finance Ministers.

Furthermore, there is a supporting event packaged in the ASEAN Fest 2023, located at the Jakarta Convention Center (JCC) on August 22-25, 2023. The event will be held in a series of seminars, including: High Level Seminar on Frameworks for Integrated Policy: Experiences and The Way Forward, and Digital Financial Inclusion Festival International Symposium: Digital Financial Literacy Program to Promote Financial Inclusion for Sustained Economic Growth.

This performance was also enlivened by various ASEAN-themed competitions, ASEAN Village, MSME exhibitions and superior products as well as financial inclusion products, to entertainment events.

The ASEAN Fest invites the widest possible community to visit and attend various rides that represent the culture and icons of each ASEAN member country, enjoy entertainment offerings, all of which are to get the essence of the ongoing meeting of delegates and gain pride in Indonesia's chairmanship in ASEAN this time.