Perspectives on East-Asian Monetary Integration

Increasing trade interdependence among East-Asian countries suggests the urge to design some monetary arrangement to stabilize the macroeconomic framework of an extremely heterogeneously growing area. The paper reviews the literature and analyses several directions of East-Asian integration process, especially in relation to the European model. We argue that a more comprehensive economic and political world-scenario should be considered and a multi-speed policy approach should be implemented in the area. Around the pivotal role of China, a wide agreement should be reached for an Asian single-currency, which might be rapidly issued and provide a reference target for other East-Asian countries.