Japan, China, S. Korea, ASEAN Affirm Cooperation over Middle East

Samarkand, Uzbekistan, May 3 (Jiji Press)–Finance ministers and central bank chiefs from Japan, China, South Korea and the Association of Southeast Asian Nations met in Samarkand, Uzbekistan, on Sunday and agreed to strengthen their cooperation in dealing with risks stemming from heightened tensions in the Middle East. In a joint statement issued after the meeting, the Asian finance officials said that “the escalation of conflict in the Middle East has amplified downside risks to the regional outlook significantly.” They underscored the importance of maintaining multilateralism and further strengthening regional unity and cooperation to address common challenges and growing uncertainties. The meeting was co-chaired by Japan and the Philippines. From Japan, Finance Minister Satsuki Katayama and Bank of Japan Deputy Governor Ryozo Himino attended the meeting. At a press conference after the meeting, Katayama said that participants agreed that regional cooperation is crucial for coping with the economic impact of the situation in the Middle East. During the meeting, participants agreed to bolster the functions of the Chiang Mai Initiative for currency swaps during financial crises. The joint statement welcomed Japan’s pledge of 10-billion-dollar financial aid to Asian economies struggling with crude oil shortages. Asian countries rely on crude oil and other resources from the Middle East. As Southeast Asian countries produce many oil-related products used in Japan, including those for medical purposes, the finance aid is expected to help secure supplies of these products. On Sunday, the annual meeting of the Asian Development Bank also began. The ADB announced that it will provide a total of 70 billion dollars by 2035 to support the development of cross-border power supply networks and digital infrastructure in Asia. At a press conference, ADB President Masato Kanda, a former Japanese vice minister of finance for international affairs, stressed that this support will help create an open, resilient and inclusive future and sustainable prosperity for everyone in the region. The ADB also announced a framework to support the development of supply chains for critical minerals in the region. Japan will contribute 20 million dollars to the framework. END [Copyright The Jiji Press, Ltd.]