1. ASEAN Regional Financial Integration
What is happening and how is SWIFT
supporting it?

2. What is next?
How is SWIFT supporting financial integration?
What trends are we seeing?
ASEAN Regional Financial Integration Session
Introduction
Where are we today?

3. Introduction: ASEAN Regional Financial Integration
3
ASEAN AEC
ASEAN
Financial
Integration
ASEAN
payments
and
settlement
system
(WCPSS)
What is happening
and how is SWIFT
supporting it?

4. ASEAN..

5. ASEAN a Region with a lot of Potential
….
GDP USD 2.3 trillion
GDP Growth Projections
remain around
5%
Population >600 million
(approx. 9%
global
population)
Trading
partners
China, Japan,
EU, US, Korea,
India, Australia
Market
capitalisation
5.8% average
growth rate for
the region

6. Rank Country
Total Traffic Payments Securities
May 14 YTD
Avg Daily
Traffic
Weight in
ASEAN
Growth vs
May 13
May 14 YTD
Avg Daily
Traffic
Rank
Growth vs
May 13
May 14 YTD
Avg Daily
Traffic
Rank
Growth vs
May 13
1 Singapore 296,204 49% 12% 155,581 1 11% 114,246 1 16%
2 Thailand 87,183 14% 9% 58,286 2 13% 24,162 4 1%
3 Indonesia 83,853 14% 13% 39,308 3 6% 39,927 3 24%
4 Malaysia 75,879 13% 7% 30,347 4 8% 40,683 2 7%
5 Philippines 40,923 7% 9% 22,203 5 6% 15,450 5 17%
6 Vietnam 17,382 3% 13% 11,967 6 12% 1,416 6 21%
7 Cambodia 1,272 0% 12% 1,141 7 14% 2 7 21%
8
Brunei Darussalam 1,024 0% 1% 943 8 2% 1 8 12%
9 Myanmar 600 0% 12% 459 9 33% 0 9 -
10 Laos 483 0% 8% 395 10 15% - 10 -
FIN traffic in ASEAN
49% of ASEAN traffic is sent from Singapore

7. The Goal of Regional Economic Integration is AEC..
• Single market and production base
• Highly competitive economic region
• Region of equitable economic development
• Fully integrated into the global economy
Transform ASEAN
into a region with free movement of
goods, services, investment, skilled labour
and freer flow of capital
ASEAN Economic
Community Blueprint by 2015
Characteristics:

8. AEC 2015: Financial Integration Blueprint
Goal of the
Blueprint
The achievement of a well-integrated
and smoothly functioning regional
financial system,
characterized by more liberalized
capital account regimes
and inter-linked capital markets

9. ASEAN Payment and Settlement System
An efficient payment system
is vital in strengthening the
link among ASEAN members
Source: The Road to ASEAN Financial Integration by ADB and ASEAN
Areas for enhancement, development
and harmonization
i. Cross-border trade settlement
ii. Cross-border money remittance
iii. Cross border retail payment
systems
iv. Cross border capital market
settlement
v. Standardization

10. Agenda
What Trends Are We Seeing?
Qinwen Xiao

11. Agenda
Moving Towards International Standards
Kiyono Hasaka

12. Agenda
SWIFT’s Support for Financial Integration &
what is next?
Usama Delorenzo