China, Japan, SKorea to create $120b fund

China, Japan and South Korea have agreed to pool US$120 billion in foreign-exchange reserves for the purposes of protecting their currencies from attack, Bloomberg reported, citing a report in the Seoul Economic Daily. The South Korean newspaper cited an unidentified South Korean official as saying the three countries will announce the plan at the ASEAN Summit in Thailand from February 27 to March 1. China, Japan and South Korea will likely contribute about 80% of the pool and other ASEAN members will contribute the remaining 20%.