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My Profile Top News Reuters top ten news stories delivered to your inbox each day. Subscribe You are here: Home > News > International > Article Home Business & Finance News U.S. Politics International Technology Entertainment Sports Lifestyle Oddly Enough Environment Health Science Special Coverage Video Pictures Your View The Great Debate Blogs Weather Reader Feedback Do More With Reuters RSS Widgets Mobile Podcasts Newsletters Your View Make Reuters My Homepage Partner Services CareerBuilder Affiliate Network Professional Products Support (Customer Zone) Reuters Media Financial Products About Thomson Reuters ASEAN agrees measures to ease economic crisis: draft Sat Feb 28, 2009 9:21am EST Email | Print | Share | Reprints | Single Page [-] Text [+] By Nopporn Wong-Anan HUA HIN, Thailand (Reuters) - Leaders of Southeast Asian nations have agreed to ease monetary policy and resist protectionism as they fight the financial crisis that is hurting their export-dependent economies, a draft statement showed. The 10-member Association of South East Asian Nations also vowed to work with the Group of 20 on reforming international financial institutions. "We agreed that counter-cyclical and more coordinated macroeconomic policies are the best response to this global financial crisis," said the draft chairman's statement to be issued after the summit ends on Sunday. "Some governments have already implemented fiscal stimulus packages to boost domestic demand and accommodative monetary policy that enable the banking sector to continue their function." The statement said the leaders were committed "to resist any protectionist measures which would further dampen global trade and slow down the economic recovery" and urged major players in the World Trade Organization to bring about an early conclusion of the Doha round. Thai Prime Minister Abhisit Vejjajiva said at the start of the summit on Saturday in Thailand's royal seaside resort of Hua Hin: "We will be severely tested from now on, both as a group and as a part of the broader Asia region. As the financial crisis deepens, the world will look toward our region for action and for confidence." SLOW GROWTH ASEAN has moved toward becoming a single community of 570 million people with a combined GDP of $2 trillion in six years, he said. But leaders are worried about rising unemployment. Some countries are preparing for elections this year or next. Thailand, which has had four prime ministers in the past year, offers lessons to its neighbors about the dangers of festering political rifts in deteriorating economic conditions. The summit, scheduled for December in Bangkok, was postponed and moved to Hua Hin due to street protests that included the seizure of Bangkok's main airports. Singapore's prime minister, Lee Hsien Loong, said the world could be in for several more years of slow growth unless the banking system at the core of the crisis was fixed. "I think the U.S. recession will last this year, maybe a bit longer," he told the Bangkok Post in an interview published on Saturday. "But the concern is what happens after the U.S. recession: whether there is a strong recovery or whether in fact the difficulties will take several more years to work out." ASEAN officials have argued against protectionism in world trade but have defended their own buy-local campaigns by saying they are consistent with trade rules. ASEAN signed a Free Trade Agreement with New Zealand and Australia on Friday that Australia says will add $48 billion eventually to economies in the region. CIVIL DIALOGUE Continued... View article on single page Share: Del.icio.us Digg Mixx Yahoo! 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