Committee members who are?international financial experts, including NCCU President Edward Chow?(周行一)and?Professor?Hsu Zhen-Ming?（許振明）of CTBC Financial Management College, all attended the conference which took place on January 14 and 15 in NCCU. The press conference was hosted by?President Chow, who issued the policy suggestion statement jointly with?Professor?Hsu; David Ding, Professor of Finance in Massey University of New Zealand; and Martin Young, Professor of Economics in Massey University of New Zealand.
Currently, there are six regions in the world that have established the “Shadow Financial Regulatory Committee”, including the US, Europe, Latin America, Asia and so on. All of them demonstrate a strong influence by gathering prestigious financial scholars and proposing suggestions to regional financial agendum.
Non-member countries should not be excluded
The statement suggested four guidelines for the member states, which are improving the regulatory environment and promoting financial cooperation; reducing dependence on the US dollar and developing a regional repo market; restoring independence to monetary policy as well as safeguarding macroeconomic and financial stability; aiming at a greater financial internationalization within the region.
The statement emphasized that, non-member economies, such as Taiwan, should be included in financial regulatory policies in order to avoid over-concentration in assets and currencies.
Some are concerned about Taiwan being marginalized as ASEAN members deepen cooperation and integration. Martin Young,?Professor of Economics in Massey University of New Zealand, responded to the concern by pointing out that inclusive regional financial policies can help diversify the risk. “Taiwan should not view the bank integration as barriers, but as opportunities,” said Young.
President Chow pointed out that Taiwan’s experience in lending to small and medium enterprises serves as a model for members to enhance financial inclusion in the region. “Although Taiwan does not apply to member regulations and establish branch banks in Southeast Asian countries, Taiwanese banks are still observed to engage in local investment by equity participation,” said Chow.
Professor Hsu also stated that, “Taiwan can still expand the business in Southeast Asian countries which welcome investors, such as Cambodia”.