State Bank of Vietnam co-chairs ASEAN Financial Integration Committee as members approve overhaul of ASEAN financial and banking cooperation for 2027 launch

The State Bank of Vietnam reported on the 31st meeting of the ASEAN Financial Integration High Level Committee, co-chaired with Bank Indonesia in Boracay, Philippines, where ASEAN central bank deputy governors approved a comprehensive reform project to streamline how ASEAN financial and banking cooperation is organised and overseen. The reform project aims to reduce overlap and improve coordination by consolidating approval processes, restructuring existing working groups into four thematic groups, strengthening two-way engagement with external partners, and establishing a mechanism to monitor implementation after meetings. The committee also reviewed 2025 progress across ASEAN banking cooperation workstreams, including delivery of key objectives under ASEAN Banking Integration, capital account liberalisation and regional payment connectivity, and agreement on technical elements to upgrade the ASEAN Swap Arrangement; the co-chairs presented an ASEAN banking sector Risk Monitoring Report highlighting opportunities alongside complex risks. Timor-Leste’s central bank participated for the first time as an official ASEAN member, alongside discussion of capacity-building support. The transition to the new cooperation mechanism is intended to begin officially from the start of 2027, with the reform package expected to be submitted for approval at ASEAN central bank governors and finance ministers’ high-level meetings in April 2026. Vietnam will host the 32nd committee meeting in September 2026.