Use of local currencies in cross-border transactions among the ASEAN+3 strengthens financial resilience, promotes trade and investment, and reduces the region’s reliance on foreign currencies.
Growing involvement of the traditional banking system with the crypto ecosystem raises concerns about systemic risk and financial stability.
Cryptocurrency adoption in emerging markets, especially the ASEAN+3 region, has been strong at both institutional and retail levels.
Financial digitalization (FinDig) is changing the landscape of the international monetary and financial system.
With a market capitalization of KRW23 trillion by H1 2022, Korea has been a hotspot for the virtual asset market due to lucrative returns on virtual asset trading, the so-called “Kimchi premium”.
Key takeaways from the Bank of Korea and the Riksbank's pilot projects.
The Korean economy has recovered strongly from the pandemic, led by robust export growth and a strong rebound in private consumption. However, inflation remains elevated and the economic outlook in the near term has deteriorated amid tighter financial conditions and weakening external demand.
Investment in the fintech sector globally has risen, but so has competition for funding. Recent initiatives, such as the Hong Kong Monetary Authority’s (HKMA) Fintech 2025 strategy, will strengthen fintech’s role as Hong Kong’s next growth engine, but the city can do more to help its fintech sector compete with other fintech hubs in attracting funding.
Interest in financial digitalization has been intensifying within the ASEAN+3 region.