Asia’s management of these challenges will ultimately matter a good deal for Australia, and for the world. In the meantime, Australia’s terms of trade are very high and the investment expansion in the resources sector is proceeding. On the indications available it has quite some distance to run yet. This is having positive spillovers to some parts of the Australian economy.
This sequence of events underscores the practical need to promote the use of regional currencies in intra-regional trade and to facilitate increased use of non-traditional reserve currencies in international trade and finance. 3. According to a recent World Trade Organisation paper on the use of currencies in international trade, almost all non-reserve currencies are viewed as underutilised, i.e.