Deeper integration needed for AEC 2025
KUALA LUMPUR: The further removal of trade barriers, supportive national and regional policies, and investments in digitalisation are the key focus areas for Asean to achieve its Asean Economic Community (AEC) 2025 Vision, said Deutsche Bank.
In its ‘Reimagining Asean to 2025’ report, which examined Asean’s progress in realising the target, the bank said the region was in a strong position with Indonesia, the Philippines and Vietnam expected to post a minimum of five per cent growth in 2017 and 2018.
But for a highly prosperous, deeply integrated Asean to materialise, ongoing efforts to advance critical reforms have to be intensified within the next decade, said the report.
“If the AEC vision is to become a reality, governments must make sure there are no unnecessary barriers restricting integration.
“While there has been an understandable tendency for governments to hesitate before making extensive regulatory reforms, it is important that they do the costbenefit analysis and push through change wherever it is possible and appropriate,” Deutsche Bank said in a statement yesterday.
The bank said key milestones for the AEC project would be in areas such as the full operationalisation of the Asean Single Window for customs clearances, the establishment of a firm and meaningful process for the removal of non-tariff barriers, and the full implementation of trade facilitation measures including the World Trade Organisation Trade Facilitation Agreement.
The report also highlighted the fundamental role that digital technology could play in facilitating integration and sustainable economic growth, saying that digital economy is the future. — Bernama
If the AEC vision is to become a reality, governments must make sure there are no unnecessary barriers restricting integration. Deutsche Bank