News: 'Single Asian currency decades away'

(PTI 26/03/2006) Manila - Single Asian currency along the lines of Euro is still a far cry as Asian countries would have to first establish a common market and improve regional infrastructure, said, Asian Development Bank.

Haruhiko Kuroda, president, said," Before we can realistically envisage any single currency, we have to have a single market as the European experience shows," He said, “if we have to do so regional governments and regional institutions must make their best effort.”

"Although I am in favour of a single currency in Asia it is a very remote possibility," Kuroda said.

Even in Europe where economies are much similar with each other and have very strong social and political unity, even there establishment of Euro took three decades after a common currency was started, he pointed out.

Currently in the world there are about 150 central banks and currencies, but this will be reduced substantially in years to come as economies are fast integrating.

"I am quite sure that in 100 years there will be much fewer currencies and central banks in the world," Kuroda who is also a former Japanese vice minister of finance, said.

He said this will happen because economies are becoming more and more interdependent and particularly financial flows are speeding up and the amount of financial transactions is really amazing.