Joint Press Communiqué 59th SEACEN Governors’ Conference and the 43rd Meeting of the SEACEN Board of Governors
Joint Press Communiqué
59th SEACEN Governors’ Conference and the 43rd Meeting of the SEACEN Board of Governors
February 15-16, 2024
Mumbai, India
The Reserve Bank of India (RBI) hosted the 59th SEACEN Governors’ Conference and the 43rd Meeting of the SEACEN Board of Governors (BOG) during February 15-16, 2024, in Mumbai, India.[1] The SEACEN community expressed satisfaction over continuing its practice of meeting in person.
The recovery from the COVID-19 pandemic was followed by a concerted interest rate hike cycle by systemically important economies on account of rising inflation, slowdown of external demand, elevated energy and food prices, high levels of non-financial corporate debt, strained public budgets, higher borrowing costs, geopolitical disturbances and structural issues. Against this backdrop, the Governors’ Conference on February 15th, 2024, with the theme Navigating Economic Headwinds and Advancing Financial Inclusion: Perspectives and Challenges, acknowledged the challenging trade-offs emerging from different policy objectives and tackling them using diverse sets of policy tools. The conference was attended by the Governors and Managing Directors, as well as delegates from SEACEN member central banks and monetary authorities.
Following the welcome remarks by Mr. Mangal Goswami, Executive Director of the SEACEN Centre, Governor, Reserve Bank of India, Mr. Shaktikanta Das, delivered the keynote address on the topic Fundamental Shifts in the Global Economy: New Complexities, Challenges and Policy Options. Ms. Petya Koeva Brooks, Deputy Director from the International Monetary Fund (IMF) gave the first of two special addresses on Insights on the Global and Emerging Markets Economic Outlook, after the keynote address.
This was followed by a panel discussion comprising of Mr. Sachin Chaturvedi[2]; Mr. Nandalal Weerasinghe[3]; and Mr. Francisco G. Dakila Jr.[4], and moderated by Ms. Petya Koeva Brooks. This panel discussion on The Drivers and Road to Achieving Inflation Targets – Challenges Ahead echoed that inflation around the world remained elevated in 2023, partly driven by global factors – and more frequently by – supply shocks resulting in constraints in flow of commodities across markets. Challenges to effective policymaking continue to widen, and now encompass monetary-fiscal policy coordination and varied central bank communication strategies. Following this panel discussion, a special address was delivered virtually by Mr. François Villeroy de Galhau[5] on Challenges Ahead on the Road to a 2 per cent Inflation Target.
The second panel discussion comprising of Mr. Chang Yong RHEE[6]; Ms. Nguyen Thi Hong[7]; and Mr. Marzunisham Omar[8] was moderated by Professor Kenneth Kletzer[9]. The panel discussion focused on Challenges and Implications of Higher for Longer Interest Rates. High interest rates, induced largely by strong and persistent inflationary forces made the macro-financial environment more arduous. Cross-country monetary spillovers in a highly integrated world had gained prominence. The panel reasoned that monitoring of global economic developments with a focus on the international exposure, building up the buffers, robust risk management practices and clear policy communication could help central banks mitigate the spillover risks.
The third panel discussion on Leaving No One Behind: The Role of Digital Public Infrastructure in Financial Inclusion was moderated by Mr. Chia Der Jiun[10]. The panel noted with concern that despite rapid advances in the digitalization of transactions and the payments infrastructure, around 1.4 billion people across the word had remained financially excluded. The Digital Public Infrastructures (DPIs) can provide the core foundational system that enables the provision of digital services across economies and accelerate financial inclusion. The panelists, Ms. Chea Serey[11]; Mr. Maha Prasad Adhikari[12]; and Mr. T. Rabi Sankar[13] elaborated on ways to leverage the DPI for advancing financial inclusion in the SEACEN community.
The Conference concluded with closing remarks by Mr. Michael Debabrata Patra, Deputy Governor, RBI on The Relevance of SEACEN in a Turbulent World. In his address, the Deputy Governor stated that according to the World Bank, the macroeconomic performance of the region was standing out in a world that was expected to experience its slowest growth in three decades. He underscored that the member central banks of SEACEN were at the forefront of the transformation that the world was experiencing and were leading the way forward.
On February 16th, 2024, the 43rd Meeting of the SEACEN Board of Governors (BOG) was held. The Governors greeted Mr. Shaktikanta Das, Governor, RBI as the SEACEN chair for 2024. The Governors approved the administrative matters relating to the SEACEN Centre, including the matters approved by the Executive Committee (EXCO) members in their meeting in September 2023. The members expressed their appreciation for the outgoing Chairpersons, Mr. Chea Chanto (former Governor, National Bank of Cambodia) and Ms. Chea Serey, Governor of the National Bank of Cambodia for their strong leadership as the SEACEN chair during 2023.
The Governors also welcomed with appreciation the Bank of Korea’s acceptance to take over the SEACEN chair in 2025.
[1]SEACEN comprises the 19-member central banks and monetary authorities of Brunei Darussalam, Cambodia, China, India, Indonesia, Hong Kong SAR, Korea, Lao PDR, Malaysia, Mongolia, Myanmar, Nepal, Papua New Guinea, Philippines, Singapore, Sri Lanka, Chinese Taipei, Thailand and Vietnam. The SEACEN has eight Associate Members and eight Observers.
[2] Member of the Central Board, RBI.
[3] Governor, Central Bank of Sri Lanka.
[4] Deputy Governor, Bangko Sentral ng Pilipinas.
[5] Governor, Banque de France.
[6] Governor, Bank of Korea.
[7] Governor, State Bank of Vietnam.
[8] Deputy Governor, Bank Negara Malaysia.
[9] University of California, Santa Cruz, USA.
[10] Managing Director, Monetary Authority of Singapore.
[11] Governor, National Bank of Cambodia (NBC).
[12] Governor, Nepal Rastra Bank (NRB).
[13] Deputy Governor, RBI.
Kina exchange rate (MIDRATE)
Released:29/04/2024
