Singapore - ASEAN Economic Community vital to meet competition: PM Lee

SINGAPORE: Singapore's Prime Minister Lee Hsien Loong has said the ASEAN Economic Community is particularly vital, as it is the best way for the 10-member grouping to meet growing competition.

He said such a community will also create new opportunities by integrating the markets and supply chains.

Addressing ASEAN leaders at the plenary session held after the opening of the 20th ASEAN Summit on Tuesday, Mr Lee stressed that the global business community is watching carefully to see if ASEAN can deliver.

In this regard, he said ASEAN has made some progress recently -- the ASEAN Comprehensive Investment Agreement which has come into effect creates a more predictable and stable investment environment.

Mr Lee said with the agreement, all companies can have greater confidence that their investments in ASEAN will be protected and welcomed.

However, he said there is a need to press on with other commitments.

Among them, the eighth package of services commitments -- which was supposed to have been completed by the end of 2010, but has been delayed.

Mr Lee believes that when this package is completed, it will allow Singapore companies, such as those in accountancy and medical services, greater access to the wider ASEAN market.

He added that it is also important for ASEAN to deepen regional integration.

That is because other countries are entering into bilateral and pluri-lateral Free Trade Agreements (FTAs) across East Asia and the Pacific, and one such example is the Trans-Pacific Partnership.

Mr Lee called on the grouping to push forward on the ASEAN Regional Comprehensive Economic Partnership to improve on the ASEAN Plus One FTAs and be a high quality partnership to attract businesses.

He also hopes that negotiations can be launched for a Comprehensive Economic Partnership Agreement with interested FTA partners, starting with trade in goods at the next ASEAN Summit.

Another task is to step up efforts on the masterplan on ASEAN connectivity, said Prime Minister Lee.

He noted that ASEAN's dialogue partners have strongly supported the masterplan last year and the grouping should follow up with concrete projects by working with the Asian Development Bank on connectivity projects, such as the Singapore-Kunming Rail Link and the ASEAN Highway Network.

Mr Lee emphasised that these measures will benefit Singapore companies and Singaporeans.

Closer ASEAN integration will boost Singapore's position as a regional business hub and create new opportunities in HQ services and supply chain management.

Mr Lee noted that ASEAN may be 45 years old but there are many more opportunities for the grouping to fulfil its potential.

The Phnom Penh Declaration, which the leaders will be endorsing, reminds the grouping that much work remains to be done to build the ASEAN Community by 2015. Mr Lee said there is less than three years left to realise this objective.

Singapore supports Cambodia's theme of "One Community, One Destiny" and Mr Lee urged the grouping to work towards one common destiny and a stronger, prosperous and united ASEAN.

- CNA/al

Business & Investment Opportunities 

YourVietnamExpert is a division of Saigon Business Corporation Pte Ltd, Incorporated in Singapore since 1994. As Your Business Companion, we propose a range of services in Strategy, Investment and Management, focusing Healthcare and Life Science with expertise in ASEAN. We also propose Higher Education, as a bridge between educational structures and industries, by supporting international programmes. Many thanks for visiting www.yourvietnamexpert.com and/or contacting us at contact@yourvietnamexpert.com