The Hong Kong Monetary Authority (HKMA) is to meet 10 other Asia-Pacific central banks in Shanghai in July to discuss co-operation among central banks in Asia.
An executive meeting of East Asia and Pacific Central Banks, which comprises 11 central banks from Korea, Singapore, Japan, China, Malaysia, Indonesia, New Zealand, Australia, Philippines, Thailand and the HKMA, will join the governors' meeting to be held by the People's Bank of China on July 25 in Shanghai.
HKMA chief executive Joseph Yam Chi-kwong said the meeting would focus on three issues: co-operation among Asian central banks on the management of exchange fund reserves to fight against speculation in local currencies, co-operation in the area of banking supervision and the development of Asia's financial infrastructure.
He said three working groups were studying the issues and would present reports at the meeting.
He said the most important issue to be discussed would be the building up of financial infrastructure in Asia, which includes the linkage between payment systems, the setting up of an Asian BIS (a formal alliance of Asian central banks) and an Asian clearing house.
'The linkage of payment systems will help reduce settlement risk,' he said.
'The Asian clearing house will enable debt securities to be cleared during the Asian time zone and the Asian BIS will help central banks have closer co-operation.