Asian economies have all the tools necessary to withstand economic challenges next year, concluded the U.S. Treasury after the APEC Finance Ministers’ Meeting In Thailand
In a press conference after the APEC Finance Ministers’ Meeting in Thailand last week, U.S. Deputy Treasury Secretary Wally Adeyemo noted that, despite many challenges, Asia is well equipped to tackle economic downturns lying ahead.
During the two-day meeting, finance ministers in Asia-Pacific pledged not to adjust exchange rates for competitive purposes. They acknowledged it might have adverse implications for economic and financial stability.
Despite the USD rise pushing Asian currencies down, the sluggishness of the Chinese economy and the diversity of economic strengths among countries, the U.S. representative noted “the vitality of the region’s economy as well as its increasing centrality.” He said the Asian countries are ready to use all available monetary, fiscal and structural policy tools to manage inflationary pressures.
Besides, some economies acknowledged the importance of improving debt transparency, as tightening economic conditions could easily lead to debt distress.
In addition, Adeyemo reminded about the U.S.’s goal of being more economically integrated with Asia. He added that U.S. legislation such as the CHIPS Act could help the region boost economic activity.
After the event in Thailand, U.S. Deputy Treasury Secretary visited Singapore, continuing the discussion on IPEF — the U.S.-led framework for economic and trade matters in the APEC region.