Any shock hitting the US economy or the global market may change investors' perceptions given the existing global current account imbalance.
The possibility of a US dollar collapse or sharp decline may be small at this point but it would generate very significant turmoil so East Asian economies... ought to be ready for that.
The market is still growing. But the growth rate in 2005 moderated a little bit from the previous year's growth.
There's been significant progress, but that progress is not quite enough.
Asian governments, central banks and the private sector will have to focus more on bond market development and really strengthen market infrastructure.
Our suggestion to Asian countries is: Don't take this continuous financing of the U.S. current account deficit as a given.
The individual exchange rates won't be supported officially...but if this index is relatively stable vis-a-vis external currencies then it's quite useful.
We have a plan to create several indexes, but we want to make these indexes as attractive as possible to the market.
Perhaps a single currency may come after that.
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