RIEB, Kobe University

Financial Cooperation in East Asia: Its Future Directions

After looking back the achievements of financial cooperation in Asia, this paper argues its future direction. Despite recent financial turmoil of "Euro", the financial integration in Europe still has the aspects from which we should learn. The other aspect of the financial integration besides the single currency is to develop the good market infrastructure at regional scale. In this respect, Euro has attained good achievement. Financial service has improved much in Europe, which supports the promotion of trade and investment. In Asia, economic integration has progressed in trade and production, while cross border financial service is far behind. There remain many impediments in the financial services. In order to improve them, the priority should be put on the development of financial infrastructure