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Bond market development and integration in ASEAN
Author(s) -
Plummer Michael G.,
Click Reid W.
Publication year - 2005
Publication title -
international journal of finance and economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.505
H-Index - 39
eISSN - 1099-1158
pISSN - 1076-9307
DOI - 10.1002/ijfe.268
Subject(s) - economics , diversification (marketing strategy) , bond market , financial integration , market liquidity , capital market , bond , market integration , context (archaeology) , currency , international economics , interest rate , convergence (economics) , economic integration , financial market , financial system , monetary economics , business , macroeconomics , finance , paleontology , marketing , biology
The Association of Southeast Asian Nations (ASEAN) has focused increasingly on financial integration as part of its economic‐deepening agenda. This paper considers the challenges and opportunities associated with the creation of an ASEAN bond market. In addition to surveying the status quo of fixed‐income markets in the context of capital market development and integration in the region, the paper gauges the benefits that might be generated through, inter alia , financial market diversification and interest rate convergence. It also addresses approaches to the inevitable liquidity problem, such as via the creation of an ASEAN currency basket. Copyright © 2005 John Wiley & Sons, Ltd.