"The ministers discussed the possibility of increasing the effectiveness of what has already been agreed on by some members of ASEAN and the central bank of China in utilizing the so called bilateral currency swap where it facilitate the usage of Renminbi (Chinese Yuan) and ASEAN members` currency for bilateral trading," Mahendra said.
He said the discussion about leaving conventional currency for trading was relevant considering current situation with regard to the fluctuation of the global currency as a result of crisis in the United States and some European countries.
However, he reiterated that , in the end, all decision should be made by the exporters and importers from ASEAN and China themselves. The government, he said, would play role as facilitator in this matter.
ASEAN and China trade relation recorded the highest number in year 2010 with ASEAN export to China reaches US$113.5 billion or increase by 39.1 percent compared to the year before with US$81.6 billion while China export to ASEAN reaches US$117.7 billion or increase by 21.8 percent from US$96.6 billion in 2009.
Trade and economic ties between ASEAN and China have been growing rapidly over the past years, especially after the signing of the Framework Agreement on Comprehensive Economic Cooperation in November 2002 to establish the ASEAN-China Free Trade Area (ACFTA).
According to ASEAN statistics, since the launch of the FTA in 2003, ASEAN`s trade with China has been rising at an annual average rate of 26 percent, resulting in the tripling of ASEAN`s trade with China, from USD 59.6 billion in 2003 to USD 196.9 billion in 2008.
China`s share of ASEAN trade has also risen from 4.2 percent in 1995 to 11.3 percent in 2008. After a sharp rise in total trade from 2007 to 2008, ASEAN trade with China declined by 9.5 percent in 2009, from USD 196.9 billion in 2008 to USD 178.2 billion in 2009. Despite this decline, China has emerged to be ASEAN`s largest trading partner accounting for 11.6 percent of ASEAN's total trade.
(T.A051/HAJM/A014)
Editor: Priyambodo RH
Copyright © ANTARA 2011
