Finance minister Xie Xuren led the Chinese delegation attending the Finance Ministers of ASEAN, China, Japan and the Republic of Korea (ASEAN+3) meeting held in Thailand's southern resort island of Phuket on Feb. 22.

This year's meeting was held under grave the circumstance of the ailing global financial situation that had already had negative impact on regional economy. Finance ministers from ASEAN, China, Japan and ROK exchanged views on measures countries around the world had taken to tackle the financial meltdown and reached agreement on further deepening regional financial cooperation.

The meeting adopted an action plan for stabilizing Asian economy and finance. Member countries promised to speed up the multilateral process proposed in the Chiang Mai Initiative by establishing a regional forex reserve at the earliest possible opportunity and agree to boost the emergency fund to 120 billion yuan from previous 80 billion as to better protect against the financial crisis.

According to Xie, the Chinese government has taken following measures to deal with the financial meltdown:

First, China resolutely carries out proactive fiscal policy and flexible monetary policy, and has set eyes on the expansion of domestic demand and the promotion of consumer demand in particular in order to stimulate economic development more steadily and rapidly. The growth of China contributes to the regional financial stability and regional economic growth.

Secondly, China should be actively involved in the international cooperation on financial crisis. Under the framework of “Ten plus Three", the Chinese government has made efforts in deepening financial cooperation in East Asia, propelling the multilateral progress in accordance to “Chiang Mai Initiative". China also hopes to improve the rescue-relief capability and stabilize Asian financial market.

Thirdly, China deepens international cooperation on economy and trade, and opposes all kinds of trade protectionism. Most countries in Asia depend heavily on exports, so are more likely to fall victims of trade protectionism. East Asian countries should call on the international community to abolish trade protectionism, push for the Doha round of trade negotiation, set up a fair, rational and stable multilateral trade mechanism as well as promote global economic recovery and growth.

Finally, China as a country that bears responsibility, should take part in various global rescue plans which could help countries in need tackle the crisis.

By People's Daily Online

http://paper.people.com.cn/rmrb/html/2009-02/23/content_198116.htm