A group photo before the 28th annual meeting of finance ministers and central bank governors from ASEAN, China, Japan, and the Republic of Korea in Milan, Italy, on May 4, 2025. (Xinhua Photo)
China, Japan, the Republic of Korea, and ten ASEAN countries warned that trade barriers are threatening to divide the global economy.
Finance ministers and central bank governors from China, Japan, the Republic of Korea, and ASEAN member countries issued a joint statement on May 4 during the Asian Development Bank's annual meeting held in Milan, Italy.
In this statement, finance ministers and central bank governors noted that growing protectionism would drag down global trade, lead to economic fragmentation, and affect trade, investment, and capital flows in the region.
The statement said that countries are committed to "a rules-based, non-discriminatory, free, fair, open, inclusive, equitable, and transparent multilateral trading system with the World Trade Organization at its core."
In the joint statement, the countries attending the conference determined to expand the scope of the Chiang Mai Initiative Multilateralization (CMIM), allowing countries to obtain emergency financing support without conditions when they encounter financial crises caused by sudden shocks.
The Chiang Mai Initiative, established after the Asian financial crisis of 1997-1998, aims to maintain regional financial stability through currency swap arrangements.
Reuters reported that the total size of the CMIM pool is currently US$240 billion. Japan and China each contributed US$76.8 billion, the Republic of Korea contributed US$38.4 billion, and the ten ASEAN countries contributed a total of US$48 billion.
Reporter | Zhang Ruijun
Editor | Yuan Zixiang, James, Shen He
