The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site. Please see our Subscription Terms and Conditions.

All material subject to strictly enforced copyright laws. © 2022 Euromoney, a part of the Euromoney Institutional Investor PLC.

Political will drives ABF1

In June, the 11-member Executives Meeting of East Asia-Pacific (EMEAP) central banks announced the birth of the $1 billion Asian Bond Fund 1 (ABF1) - something few market observers expected to see so soon.

"It took us a year, which is pretty good by central banking standards," says Joseph Yam, chief executive of the Hong Kong Monetary Authority (HKMA). The idea was first officially mooted by HKMA deputy chief executive Norman Chan at a meeting of the EMEAP deputy central bankers. Thailand was particularly receptive - even more so when its prime minister, Thaksin Shinawatra, heard about it and took up the baton. Out of the blue, newspapers blared out on a subject usually confined to the specialist financial pages. Bond funds were the latest fads.

"I have to admit I laughed when I heard Thaksin talk about it last year and I certainly didn't expect it to come about this quickly," says a senior credit analyst in Hong Kong. The joke involved imagining a country like fastidious Singapore being forced to invest in Philippine paper.

"What is amazing is the growing political will," says Koh Yong Guan, managing director of the Monetary Authority of Singapore (MAS).

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.


Unlimited access to and

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually


Unlimited access to and, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors


Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree