Ten years after the financial crisis of 1997–98 that devastated Asian financial markets and economies, several regional initiatives, including the Chiang Mai Initiative and the Asian Bond Markets Initiative, have been put in place to strengthen financial cooperation and integration in the region. Globalisation in the 1990s made Asia a more integrated region through increased cross-border trades and economic activities. Strong intraregional economic links have resulted in increased cross-border financial activities. Furthermore, economies in the region have made efforts to diversify their sources of funding, diminishing their reliance on the banking sector in favour of other financing instruments such as equities and bonds. Despite these developments, intraregional financial integration appears to lag behind the increase in intraregional trade. Such asymmetric development in economic and financial integration may affect financial stability in the region.