Asian policymakers face a number of difficult obstacles in meeting the two challenges posed by population aging. Asia’s financial systems still lag substantially behind the region’s dynamic real economy, and many Asian countries are saddled with rigid, inflexible labor markets that discourage employers from hiring any workers, let alone older workers. Governments need to put in place policies that are conducive to working, to generating high rates of saving and investment, and to greater investment in human capital. Closer regional cooperation and integration are integral components of such policies.