Abstract:

The main objective of this paper is to characterise the Asian Monetary Fund (AMF) project as a manifestation of financial regionalism and to discuss its genesis, attributes, and challenges. The project of the Asian Monetary Fund was submitted by the Ministry of Finance of Japan in 1997; however, it has not been implemented to date. Association of Southeast Asian Nations (ASEAN) Plus Three (APT) states, led by China, Japan, and the Republic of Korea, chose the path of gradualism, establishing a regional architecture of financial cooperation on the base of the network of the swap agreements (Chiang Mai Initiative – CMI), which have since been replaced by multilateral contracts (Chiang Mai Initiative Multilateralisation - CMIM), mechanisms of policy dialogue, and macroeconomic surveillance. The authors conclude that the progress of institutionalisation under the crises episodes of 1997-98 and 2007-09 increased the probability of AMF establishment, but this is on the condition that several criteria are met, such as de-linking CMIM and the International Monetary Fund (IMF), increasing CMIM funds, enhancing the effectiveness of APT Macroeconomic Research Office (AMRO) activities, ensuring complementarity between CMIM/AMRO (AMF) and the IMF’s actions to create synergy effects, expanding CMIM membership. The following research methods were used: statistical and descriptive analysis and comparative and critical studies.