Opening Statement
Good afternoon, members of the media. Thank you for joining us today.
1. We are pleased to announce the successful conclusion of the 12th ASEAN Finance Ministers’ and Central Bank Governors’ Meeting (12th AFMGM), Co-Chaired by myself and Dato’ Seri Abdul Rasheed Ghaffour, Governor of Bank Negara Malaysia. This meeting holds particular significance as Malaysia had the privilege of hosting the inaugural AFMGM on 21 March 2015 marking a pivotal step in strengthening ASEAN’s financial integration and cooperation.
2. Today’s meeting brought together ASEAN Finance Ministers and Central Bank Governors to discuss key economic developments, review the progress of our finance and central bank cooperation and reaffirm our shared commitment to fostering a resilient, inclusive and sustainable economic future for our region.
Economic Outlook and Challenges
3. Despite persistent global challenges, including protectionist trade policies and geopolitical tensions, ASEAN’s economic outlook remains resilient. The region is expected to maintain robust growth of above 4 percent in 2025 and 2026¹. Our region continues to be anchored by strong domestic demand, robust investment activity, recovering exports and favourable employment conditions.
4. Nonetheless, we remain vigilant of risks to our short and medium-term growth, particularly those stemming from reduced global trade, investment flows and recently announced additional and new reciprocal tariffs by United States. We are monitoring this closely and ready to address this volatility if the need arises.
5. ASEAN reaffirms its continued commitment to the open, inclusive and rules-based multilateral trading system and to ASEAN’s economic integration. We stand ready to work constructively with all partners, including the United States, to find balanced, forward-looking solutions that support a more resilient and sustainable global economy. ASEAN commits to not impose any retaliatory measures in response to the U.S. tariffs².
6. Amid heightened global uncertainty, we reaffirm our commitment to strengthen financial resilience and accelerate financial integration within ASEAN, thus supporting greater intra-ASEAN trade and investment integration.
7. We call upon International Financial Institutions to give greater prominence to the risks that elevated tariffs pose to the global economy and to articulate these concerns with greater clarity and emphasis.
8. During our ASEAN Chairmanship, Malaysia has set three Priority Economic Deliverables (PEDs) under finance track. We are pleased to announce the progress of these PEDs as follows:
PED#1: Catalysing Access to Finance for a Just Transition and Climate Resilience
9. In approaching transition as a whole, ASEAN is determined for the journey to be just and orderly, and inclusive yet credible. Tools that are developed must be useful and reasonable, benchmarked to other internationally recognised frameworks while moulded to ASEAN’s needs as follows:
(i) ASEAN Taxonomy Version 4 is on track for launch in November 2025.
(ii) ASEAN Transition Finance Guidance Version 2 was endorsed at AFMGM.
(iii) The ASEAN Infrastructure Fund (AIF) Action Plan 2025–2028 was approved by the AIF Board of Directors on 13 March 2025 and endorsed at the ASEAN Finance Ministers' Meeting (AFMM) today.
(iv) Significant progress has been made to secure investors for the ASEAN Power Grid (APG), with roundtable discussions held on 7 April 2025 involving TNB and Petronas to mobilize funding solutions.
(v) The ASEAN Greening Value Chain Playbook was released on 8 April 2025, with Thailand potentially piloting the regional program.
(vi) ASEAN Simplified ESG Disclosure Guide (SEDG) Version 1 was launched on 8 April 2025 with the final version set to be unveiled in November 2025.
PED#2: Accelerating the Growth of ASEAN Capital Markets
10. At present, market based-financing within ASEAN only represents 54% of the region’s Gross Domestic Product (GDP). Coupled with a high projected growth rate and the fact is ASEAN is deeply integrated in the global value chain while having a competitive regional market, ASEAN capital markets have a large potential to further mobilise capital within the region.
11. For this purpose, the ASEAN Capital Markets Forum (ACMF) Action Plan 2026–2030 is on track and will be launched at the ACMF International Conference in November 2025.
PED#3: Fostering Inclusive Instant Payment Connectivity in ASEAN
12. Recognising that scaling up bilateral payment linkages across many other countries beyond the region may well be challenging, developments of multilateral payment connectivity infrastructure, the roadmap and quantitative targets have been finalised and endorsed at AFMGM today.
Advancing Financial Integration and Regional Financial Resilience
13. We reaffirmed our commitment to financial stability and integration and welcomed progress made under the ASEAN Economic Community Blueprint 2025. These include capital market development, banking integration, financial inclusion and new guidelines for local currency transactions. We also acknowledged the United Kingdom’s support in conducting the End-Term Review of the AEC Blueprint.
Trade, Customs, Tax and Treasury Cooperation
14. We acknowledged progress in customs digitalisation and tax cooperation, including Malaysia’s proposal for a regional Tax Identification Number (TIN) framework to strengthen data accuracy in tax compliance. We also welcomed the inaugural ASEAN Treasury Forum meeting held in Bali last year which fosters knowledge exchange in public financial management.
Scaling Up Sustainable Finance
15. We endorsed the ASEAN Infrastructure Fund (AIF) Action Plan 2025– 2028, which includes the establishment of new financing facilities such as:
(i) The Regional Connectivity Project Readiness Facility (RCF);
(ii) The ASEAN Power Grid Transition Finance Facility (ASEAN TFF); and,
(iii) A pilot Islamic Finance Facility
16. We also acknowledged the progress of Version 3 of the ASEAN Taxonomy, the upcoming Version 4 and other key initiatives like the ASEAN Green Map, ASEAN Transition Finance Guidance (ATFG) Version 2 and the Asia Green Transformation Consortium (Asia GX Consortium).
Engagement with Business Councils and International Financial Institutions (IFIs)
17. We appreciated the invaluable input from the US-ASEAN Business Council, EU-ASEAN Business Council and ASEAN Business Advisory Council. Their perspectives are crucial in promoting private sector participation in areas such as digital transformation, cross-border payments, sustainability and supply chains. Additionally, we welcomed the engagement with International Financial Institutions (IFIs) including Professor Richard Baldwin, World Bank and Asian Development Bank (ADB) who shared insights on the thematic topics of inward-looking global trade and its impact on ASEAN, ASEAN's tough balancing act and building ASEAN's resilience.
18. We also thank the ASEAN Secretariat for its support, and look forward to the Philippines’ ASEAN Chairmanship in 2026 where we will begin implementing the new AEC Strategic Plan 2026–2030 as we progress toward the ASEAN Community Vision 2045.
19. Before we conclude, I would like to invite Dato’ Seri Abdul Rasheed Ghaffour, Governor of Bank Negara Malaysia to share his insights on the progress made under the Central Bank Track. The Central Bank track plays a critical role in advancing ASEAN’s financial integration and stability and we are honoured to have the Governor provide an update on the key initiatives and achievements in this area.
20. Governor Ghaffour, please, the floor is yours.
[Governor of BNM to deliver his remark]
Conclusion
21. We extend our sincere appreciation to all ASEAN Member States for their strong support during Malaysia’s ASEAN Chairmanship and for ensuring that all PEDs under the finance track are completed during this milestone year, marking the 10th anniversary of the ASEAN Economic Community since its establishment on 31 December 2015.
Thank you.
¹ ASEAN+3 Macroeconomic Research Office Economic Outlook (AREO) Jan 2025 Quarterly Updates.
² In alignment with the Joint Statement of The ASEAN Economic Ministers on The Introduction of Unilateral Tariffs of The United States, 10 April 2025
--BERNAMA
