Exploring the use of exchange market pressure and RMU deviation indicator for early warning system (EWS) in the ASEAN+3 region

Although macroeconomic and financial surveillance mechanisms have been in place both at the global level and at the Asia regional level, the results of the empirical analysis provide some evidence that a regional monetary unit (RMU) can be used to supplement existing surveillance tools for improved crisis detection and prevention. In particular, this study showed that the RMU may be useful as a tool for macroeconomic consultation. © 2009 De La Salle University, Manila, Philippines