free trade agreements are spreading throughout asia. in addition, asean is accelerating the process for building the asean economic community ( aec ) by 2015. it will be interesting to see how the present banking and other financial services change when a single market for goods and services is formulated in asean. i hope the governors can provide us with insights into developments of the aec. with the globalization of the world's financial markets, large capital flows will continue to have a strong impact on open economies. this holds true for most of the asian economies including the asean. it is, and will surely be, the most difficult task for any monetary authorities to maintain the stability of foreign exchange rates, the free flow of capital, and the independence of monetary policy simultaneously. the answer to this proposition probably lies in the resilience of markets. in order to increase the ability to absorb external shocks from massive capital flows, the priority seems to strengthen the function of foreign exchange and financial markets in the region as a whole. in this regard, frequent exchange of information, deep analysis and concerted efforts by the emeap central banks will contribute to addressing risks and vulnerabilities in the markets. such collaborative actions may cover the roles of the imf, which commits itself to extensive reform to meet new challenges under the leadership of rodrigo. conclusion it is often said that asia is highly diverse in culture, social framework and the stage of economic development. since the asian economies are in many respects very different from the european, we will probably follow our own process for economic integration. in that process, the better functioning of markets through regional cooperation will help provide a better business environment for industries and financial institutions, and lead to more efficient resource allocation. the more - than - ten - year history of emeap itself proves that cooperation based on mutual understanding and respect is possible in any circumstances. i am sure the guest speakers have various opinions on today's topics, and we will be able to appreciate their visions through our stimulating discussions. i would be delighted if this symposium helps you build insights into the dynamism of asian economies and central bank cooperation in the region for the decade to come. thank you.

a central bank to facilitate corporate financing during the run - up to the calendar and fiscal year - ends. the bank will decide what measures to employ and put into action as soon as this work is completed. various efforts by parties concerned are essential to address the current severe economic conditions, and the bank will continue to do its utmost to facilitate the return of japan's economy to a sustainable growth path with price stability. although what actual policies are desirable depends ultimately on the situation in terms of economic activity, prices, and financial conditions at the time, the bank will take appropriate measures in light of its purpose stated in the bank of japan act, that is, to ensure stability in prices and the financial system. closing remarks in closing, i would like to touch upon economic developments in the kyushu region and discuss asian economies that have close relations with this region. there have been dynamic changes in the structure of the economy in the kyushu region, making the most of its geographical advantage of being the closest to asian economies. japan's exports to asian economies, for example, have increased around twofold during the last 10 years, whereas exports from the kyushu region increased around threefold. growth in exports of japan's major products, such as electrical machinery and automobiles, is substantially higher in the kyushu region relative to japan as a whole. as a result, the share of secondary industries, such as those producing electrical machinery and automobiles, in the kyushu region is increasing – the region is sometimes referred to as " car island " or " silicon island " – and the region is becoming a hub for asian trade. the kyushu region is now making the most of being the closest to asia, which has the fastest growing economies in the world. assessing the growth potential of asian economies, therefore, is important, but there are differing views on this and, ever since the 1990s, there have been various arguments. for example, the world bank, in a book titled " the asian miracle : economic growth and public policy " published in 1993, stated that asian economies had entered an autonomous growth cycle induced by direct investment. on the other hand, paul krugman, this year's nobel laureate, stated in a 1994 article titled " the myth of asia's miracle " that asian growth was merely driven by extraordinary growth in inputs of resources like labor and capital, and asian " tigers " were more like " paper tigers " because their growth was not accompanied by gains in productivity. more recently, there has been discussion as to