Japan, China, South Korea and ASEAN to widen currency safety net

Expanded Chiang Mai Initiative to cover pandemics and disasters

20250430N thai monk in boat REU

A Buddhist monk and local residents wade through a flooded street in the Hat Yai district, Thailand, on Nov. 30. © Reuters

YUKA FURUBAYASHI

TOKYO -- Japan, China, South Korea and ASEAN are expected as early as this month to expand an aid program designed for financial crises to include infectious disease outbreaks and natural disasters.

The program, known as the Chiang Mai Initiative, was created after the 1997-98 Asian financial crisis. The goal is to prevent defaults by having members swap U.S. dollars and other currencies for the home currency of the country that requests assistance.

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