and inclusive. indeed, asean financial integration does not treat integration as a matter of liberalisation, but provides focus on stability and inclusion as its equally important pillars. the three pillars of financial integration, financial inclusion and financial stability ensure that the strength, resilience and inclusiveness of the benefits of regional integration in the financial sector are pursued and subsequently achieved. 17. a number of financial integration initiatives in the form of endorsed strategic action plans are put forward. these include the asean banking integration framework, the safeguard measures of capital flows, and the build - up of financial inclusion infrastructure. a more recent initiative on local currency settlement is another clear contribution from central banks to advance inter - asean trade and investment. 18. under the asean + 3 financial cooperation, asean has reached significant progress in strengthening the regional self - help mechanism, especially compared to the time of asian financial crisis. the continuously improved chiang mai initiative multilateralisation as a reginal financial safety net arrangement with the support of amro has made the region more ready to any risks, vulnerabilities and spillovers from the external sector. 19. moving forward, asean will consistently maintain and improve its framework as a unique economy group with strong visions. asean is ready to move to the next level, that is to become a highly integrated and cohesive economy ; a competitive, innovative and dynamic region ; with enhanced connectivity and sectoral cooperation ; as well as a resilient, inclusive, people - oriented and people - centered orientation ; and at the same time being truly a global player. [ key takeaways ] distinguished guests, ladies, and gentlemen, 20. global economy has been far more integrated than 20 years ago, and yet the challenges are also increasingly multifaceted. although in the near term the outlook is promising, some downside risks remain, requiring us to live with prudence. protectionism and anti - multilateralism are taking shape, but i believe that asean have enough experiences since the 199798 crisis to stay strong and vigilant. 21. first, asean is an agile and adaptive region and it has entered once again into a group of emerging market economies with strong macroeconomic performance, good policy formulation as well as high external confidence. in this regard, central banks are playing a crucial role in managing the stability of the economy by facilitating the recovery from the crisis, ensuring price and financial stability along the way, and preparing for the rainy days with multiple layers of defence and solid track - record of policy making

. the spillover effects in the crisis was paramount and had played a massive role. therefore at that time, asean was seen as a fragile group of economies. [ asean recent developments ] distinguished guests, ladies, and gentlemen, 11. in the aftermath of the crisis, asean countries conducted vast restructuring towards recovery. asean economy rebounded with improved economic structure. the region quickly learned from the unfortunate experience. asean strived to regain domestic and international confidence. and now, the region has revived with healthy growth and stable financial sector. 12. on average, asean grew at 5. 5 % per annum in the last 15 years, higher than the growth of the global economy of 3. 9 %. this higher growth rate led to asean ’ s rising share of world gdp. in 2016, the share of asean gdp is 6. 1 % relative to that of the global economy. 13. the asean share of world trade also increased significantly. asean trade value as a share of the world trade value rose to 6. 9 % in 2015. the growing trade value indicates an evolving structural change within the region where the economy is becoming more open. the similar improvement also happens in foreign direct investment. 14. on average, foreign direct investment in asean amounted to usd121. 9 billion annually within the period of 2011 – 2015, increased significantly from around usd 29. 8 billion per annum in 2001 – 2005. good economic performance with relatively high gdp growth has been a pull factor for fdi in this region. asean has become once again an attractive investment destination. the confidence to the region is back. [ asean integration ] distinguished guests, ladies, and gentlemen, 15. the asean rapid and successful recovery is only the first main achievement of the region. with economic stability firmly gained, countries in the region have further progressed the regional economic integration to be able to play bigger roles in the future global economy, which is the second main achievement. after 20 years since the asian financial crisis, we now proudly see asean as a region of promising world power with a strong cohesion and togetherness, owing to the asean economic integration agenda. the regional integration project acknowledges and takes care of different levels of preparedness by asean member states. it also upholds harmony and synergy by employing asean own values. 16. the initiative of asean economic integration has reached an important milestone in 2015 with the establishment of asean economic community 2015. after the 2015 graduate, the economic integration agenda in financial sector is now being pushed to be more balanced