ID :
22410
Fri, 10/03/2008 - 09:43
Auther :
Shortlink :
http://m.oananews.org//node/22410
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ADB backs idea of setting up Asian New Deal organisation
BANGKOK, Oct 2 (TNA) - Finance Minister Suchart Thadadamrongwej on
Thursday revealed that the Asian Development Bank supported the proposed idea of establishing a so-called Asian New Deal to cushion the impacts of the global financial crisis and consolidate the economic growth base of the region in the future.
Speaking at a meeting with Jean-Pierre Verbiest, Country Director of ADB's
Thailand Office to discuss ways to prevent impacts of the global financial
crisis, he said all parties acknowledged that export-dependent Asian
countries would take the brunt of the global economic slowdown and
therefore wanted to find a clear measure to handle it.
He said he would bring up the result of the meeting for consideration at
the Annual Meeting of the Board of Governors of the World Bank Group in
the American capital next week.
In addition, he would seek discussions with Chinese, Japanese, and South
Korean finance ministers on details of the proposed idea.
He said the three Asian countries had sufficient international reserves to
accommodate borrowings of member countries of ASEAN Plus Three and enhance
the size of the Asia Bond Fund 2 to ensure that members have access to the
fund in case they experience financial problems.
Mr. Suchart added ADB is ready to provide US$500-1,000 million in loans to
the Thai government in Fiscal 2009 to finance construction of
mega-projects and development of the irrigation and public health systems.
The financing is one option the Finance Ministry could adopt in compliance
with the Cabinet resolution to allow the ministry to seek loans in
state-to-state deals and from international organisations to stimulate the
country's economy.
Mr. Verbiest said ADB is ready to give financial support to Asian
countries hit by the global financial crisis, but so far, no countries had
sought special loans from the ADB since they had not been affected
directly by the crisis.
He conceded some Asian countries might experience tight liquidity now that
Western countries are making smaller investments in the face of the
financial meltdown.
Under the circumstances, Asian financial institutions and international
organisations would lend with substantial interest rate charges, but the
ADB is ready to provide loans to the affected countries at an appropriate
interest rate, he said. (TNA)
Thursday revealed that the Asian Development Bank supported the proposed idea of establishing a so-called Asian New Deal to cushion the impacts of the global financial crisis and consolidate the economic growth base of the region in the future.
Speaking at a meeting with Jean-Pierre Verbiest, Country Director of ADB's
Thailand Office to discuss ways to prevent impacts of the global financial
crisis, he said all parties acknowledged that export-dependent Asian
countries would take the brunt of the global economic slowdown and
therefore wanted to find a clear measure to handle it.
He said he would bring up the result of the meeting for consideration at
the Annual Meeting of the Board of Governors of the World Bank Group in
the American capital next week.
In addition, he would seek discussions with Chinese, Japanese, and South
Korean finance ministers on details of the proposed idea.
He said the three Asian countries had sufficient international reserves to
accommodate borrowings of member countries of ASEAN Plus Three and enhance
the size of the Asia Bond Fund 2 to ensure that members have access to the
fund in case they experience financial problems.
Mr. Suchart added ADB is ready to provide US$500-1,000 million in loans to
the Thai government in Fiscal 2009 to finance construction of
mega-projects and development of the irrigation and public health systems.
The financing is one option the Finance Ministry could adopt in compliance
with the Cabinet resolution to allow the ministry to seek loans in
state-to-state deals and from international organisations to stimulate the
country's economy.
Mr. Verbiest said ADB is ready to give financial support to Asian
countries hit by the global financial crisis, but so far, no countries had
sought special loans from the ADB since they had not been affected
directly by the crisis.
He conceded some Asian countries might experience tight liquidity now that
Western countries are making smaller investments in the face of the
financial meltdown.
Under the circumstances, Asian financial institutions and international
organisations would lend with substantial interest rate charges, but the
ADB is ready to provide loans to the affected countries at an appropriate
interest rate, he said. (TNA)
