Asean at inflexion point: Chan Chun Sing
Chan Chun Sing says region must press on with deepening integration
Asean is at an inflexion point, as the open and rules-based multilateral trading system, regional integration and economic cooperation come under mounting pressure, said Minister for Trade and Industry Chan Chun Sing yesterday.
In his keynote speech at The Business Times' Leaders Forum held at the Shangri-La Hotel, Mr Chan told an audience of almost 300 business leaders that trade frictions between major economic players will lead to spillover effects in the region.
"Against this backdrop, Asean must reaffirm our resolve to abide by open regionalism, press on with deepening integration, and come together to make a strong statement for a free, open, rules-based and interdependent system," he said.
Despite Asean's many advantages, such as its youthful population and expanding middle class, the region's positive outlook cannot be taken for granted, said Mr Chan.
"Asean has done well in eliminating tariffs and gradually reducing services barriers.
"However, non-tariff barriers still hinder the free flow of goods, and the investment landscape is uneven and lagging behind many other emerging economies," he pointed out.
CHALLENGES
Technological advancements also mean that other parts of the world can more rapidly leapfrog what Asean has taken decades to achieve incrementally, he said.
"If Asean does not collectively build a compelling vision for innovation and the digital economy, we will be left behind," Mr Chan warned.
With the challenges that lie ahead, the regional bloc must press on with economic integration and strive to achieve a greater level of connectedness among members, he said.
He outlined three ways of doing so.
First, Asean must ensure that the trade architecture is continually updated and enhanced towards greater coherence.
Second, the bloc needs to ensure that their economies are digitally connected and digitally enabled.
Finally, Asean needs the capacity to innovate and create to maintain its competitiveness in the long run, shifting the region up the value chain.
The prospects for Singapore and Asean growth was a theme also picked up during a panel discussion during which Mr Chan as well as the chairman of Changi Airport Group and Surbana Jurong, Mr Liew Mun Leong, CEO of Lazada Singapore Alexis Lanternier, Singapore Business Federation CEO Ho Meng Kit, and assistant CEO of Enterprise Singapore Tan Soon Kim, spoke on the challenges and opportunities in the grouping.
The session was moderated by The Business Times deputy news editor Lee U-Wen. Standard Chartered Bank was the presenting sponsor of the forum.
Mr Chan said that China's Belt and Road Initiative consists of more than just large-scale, infrastructure projects, and Singapore can be an effective partner for China to enter the region if it plays its cards right.
"The Chinese are looking to invest in Asean and many other parts of the world in non-infrastructure projects - we should not miss that opportunity," he said.
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