Japan, China, S. Korea, ASEAN Discuss New Loan Program

Tbilisi, Georgia, May 3 (Jiji Press)--The finance ministers and central bank governors of Japan, China, South Korea and the Association of Southeast Asian Nations met in Tbilisi, the capital of Georgia, on Friday to discuss the creation of a new loan program that will respond to large-scale natural disasters and pandemics.

The new program will be established under the Chiang Mai Initiative, a regional currency swap arrangement designed to address financial crises.

Japan had proposed establishing a new program to quickly provide funds in times of crises caused by external factors as the existing initiative failed to respond adequately to the COVID-19 pandemic.

Separately, the finance ministers of Japan and Pacific island countries met for the first time and agreed to cooperate in addressing challenges facing those island countries, including climate change and debt sustainability. Japan is scheduled to host leaders from Pacific island countries in a summit in Tokyo in July.

Those Tbilisi meetings took place on the sidelines of an annual meeting of the Asian Development Bank.

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