social and equitable economic development in asean asean foundation social and equitable economic...

Social and Equitable Economic Development in ASEAN

ASEAN FOUNDATION

Social and Equitable Social and Equitable Economic Development in ASEANEconomic Development in ASEAN

Conference on Competitiveness of ASEAN Countries: Trade and Investment Issues8-9 January 2009National Institute of Development AdministrationBangkok, Thailand

Presented by:Dr. Filemon A. Uriarte, Jr.Executive DirectorASEAN Foundation


ASEAN FOUNDATION

Association of Southeast Asian Nations Association of Southeast Asian Nations (ASEAN) (ASEAN)

30 April 1999

IndonesiaMalaysia

PhilippinesSingaporeThailand

8 Aug 1967

Brunei Darussalam 8 Jan 1984

Vietnam 28 Jul 1995

Lao PDRMyanmar

23 Jul 1997

Cambodia 30 Apr 1999


ASEAN FOUNDATION

ASEAN Charter: Purpose of ASEANASEAN Charter: Purpose of ASEAN

To create a single market and production base To create a single market and production base which is stable, prosperous, highly competitive which is stable, prosperous, highly competitive and economically integrated with effective and economically integrated with effective facilitation for trade and investment; facilitated facilitation for trade and investment; facilitated movement of business persons, professionals, movement of business persons, professionals, talents and labor; and freer flow of capital.talents and labor; and freer flow of capital.

To alleviate poverty and narrow the development To alleviate poverty and narrow the development gap within ASEAN through mutual assistance and gap within ASEAN through mutual assistance and cooperationcooperation


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CountryLand

(‘000 km2)Population (million)

2007

Brunei DarussalamBrunei Darussalam 5.85.8 0.3960.396

CambodiaCambodia 181181 14.514.5

IndonesiaIndonesia 1,8911,891 225225

Lao PDRLao PDR 237237 5.615.61

MalaysiaMalaysia 330330 27.227.2

MyanmarMyanmar 677677 58.658.6

PhilippinesPhilippines 300300 88.988.9

SingaporeSingapore 0.70.7 4.594.59

ThailandThailand 513513 65.765.7

VietnamVietnam 329329 85.285.2

ASEAN 4,464 576

Table 1: Area and Population


ASEAN FOUNDATION

Table 2: Economic Performance (2007)Table 2: Economic Performance (2007)

CountryGDP per capita

(USD)GDP total

(billion USD)

Brunei Darussalam 31,076 12.23

Cambodia 598 8.66

Indonesia 1,920 432

Lao PDR 736 4.13

Malaysia 6,880 187

Myanmar 216 12.63

Philippines 1,653 146.9

Singapore 35,200 161.5

Thailand 3,740 246

Vietnam 837 71.3

ASEAN 2,227 1,282


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Table 3: Trade Value (2007) Table 3: Trade Value (2007)

CountryExports

(billion USD)Imports

(billion USD)Total

(billion USD)

Brunei Darussalam 7.65 2.10 9.75

Cambodia 3.91 3.67 7.58

Indonesia 114.1 74.5 188.6

Lao PDR 0.382 0.711 1.093

Malaysia 176.4 147.1 323.5

Myanmar 5.93 2.79 8.72

Philippines 50.5 55.5 106.0

Singapore 301 267 568

Thailand 153.5 138.7 292.2

Vietnam 48.3 61.7 110.0

ASEAN 862 754 1,616


ASEAN FOUNDATION

Although the CLMV economies have on Although the CLMV economies have on average grown faster than the ASEAN-6 average grown faster than the ASEAN-6 countries during the past decade (5.7% countries during the past decade (5.7%

compared to minus 8.8% in 1998 and 8.5% compared to minus 8.8% in 1998 and 8.5% compared to 6.4% in 2007), their share in compared to 6.4% in 2007), their share in

total GDP is only about $97 billion or a mere total GDP is only about $97 billion or a mere 7.5% of the nearly $1.3 trillion total ASEAN 7.5% of the nearly $1.3 trillion total ASEAN

gross domestic product.gross domestic product.


ASEAN FOUNDATION

Table 4: School enrolment and adult Table 4: School enrolment and adult (15 years and above) literacy rate (2005)(15 years and above) literacy rate (2005)

Country Enrolment Literacy

Brunei Darussalam 78 92.7 (2004)

Cambodia 60 (2003) 78.7

Indonesia 68 (2003) 90.9

Lao PDR 61 72.7

Malaysia 74 (2004) 91.6

Myanmar 49 (2003) 94.1

Philippines 81 92.6

Singapore 94 95.1

Thailand 71 (2003) 93.5

Vietnam 63 93.0


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Table 5: Percentage of population with access to safe Table 5: Percentage of population with access to safe drinking water and sanitation facilities (2005)drinking water and sanitation facilities (2005)

Country Water Sanitation

Brunei Darussalam 99 80 (2003)

Cambodia 44 (2004) 23

Indonesia 80 80

Lao PDR 51 (2004) 30 (2004)

Malaysia 99 (2004) 94 (2004)

Myanmar 78 (2004) 83

Philippines 80 86

Singapore 100 100

Thailand 98 (2004) 98 (2004)

Vietnam 85 (2004) -


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Table 6: Life expectancy at birth and infant mortality (2005)Table 6: Life expectancy at birth and infant mortality (2005)

CountryExpectancy

(years)Mortality

(per 1000 live births)

Brunei Darussalam 76.7 7.4

Cambodia - 73.0

Indonesia 69.0 30.8

Lao PDR 61.0 70.0

Malaysia 73.7 6.7

Myanmar 60.8 45.1

Philippines 67.1 24.0

Singapore 80.1 2.1

Thailand 69.6 7.6

Vietnam 73.7 16.0


ASEAN FOUNDATION

ASEAN Vision 2020, adopted by ASEAN Leaders ASEAN Vision 2020, adopted by ASEAN Leaders in Kuala Lumpur in 1997, aims to promote in Kuala Lumpur in 1997, aims to promote

equitable economic development and reduce equitable economic development and reduce poverty and socio-economic disparities in the poverty and socio-economic disparities in the

ASEAN region. This aim is reiterated in the 1998 ASEAN region. This aim is reiterated in the 1998 Hanoi Plan of Action and the 2001 Hanoi Hanoi Plan of Action and the 2001 Hanoi

Declaration on Narrowing Development Gap for Declaration on Narrowing Development Gap for Closer ASEAN Integration.Closer ASEAN Integration.


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2003 Declaration of ASEAN Concord II2003 Declaration of ASEAN Concord II

The ASEAN Economic Community shall ensure that The ASEAN Economic Community shall ensure that the deepening and broadening integration of ASEAN the deepening and broadening integration of ASEAN shall be accompanied by technical and development shall be accompanied by technical and development

cooperation in order to address the development cooperation in order to address the development divide and accelerate the economic integration of divide and accelerate the economic integration of CLMV countries through the Initiative for ASEAN CLMV countries through the Initiative for ASEAN

Integration (IAI) and the Roadmap for the Integration Integration (IAI) and the Roadmap for the Integration of ASEAN (RIA) so that the benefits of ASEAN of ASEAN (RIA) so that the benefits of ASEAN

integration are shared.integration are shared.


ASEAN FOUNDATION

20002000

ASEAN Leaders agreed to launch the ASEAN Leaders agreed to launch the Initiative for ASEAN Integration (IAI)Initiative for ASEAN Integration (IAI)

20022002

ASEAN Leaders approved a Work Plan for ASEAN Leaders approved a Work Plan for the IAIthe IAI


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Vientiane Action Program (VAP): Vientiane Action Program (VAP): Adopted by the ASEAN Leaders in 2004Adopted by the ASEAN Leaders in 2004

We shall address the development issues and We shall address the development issues and special needs of the less developed ASEAN special needs of the less developed ASEAN Member Countries and sub-regional areas of Member Countries and sub-regional areas of ASEAN, including the implementation of the ASEAN, including the implementation of the

concept of ‘Prosper Thy Neighbor’, by instituting concept of ‘Prosper Thy Neighbor’, by instituting programs to narrow the development gap, programs to narrow the development gap, reducing socio-economic disparities and reducing socio-economic disparities and

eradicating poverty within ASEAN.eradicating poverty within ASEAN.


ASEAN FOUNDATION

Initiative for ASEAN IntegrationInitiative for ASEAN Integration

A policy framework which aims to contribute to A policy framework which aims to contribute to narrowing the development gap within ASEAN, narrowing the development gap within ASEAN,

involving the development of legal, institutional and involving the development of legal, institutional and regulatory frameworks and technical capabilities and regulatory frameworks and technical capabilities and

capacities of CLMV countries.capacities of CLMV countries.


ASEAN FOUNDATION

IAI Work Plan (2002-2008) has been developed to IAI Work Plan (2002-2008) has been developed to assist the CLMV countries to catch up with the rest assist the CLMV countries to catch up with the rest of the ASEAN-6.of the ASEAN-6.

Supported with contributions from ASEAN-6.Supported with contributions from ASEAN-6.

Four priority areas: infrastructure development, Four priority areas: infrastructure development, human resource development, information and human resource development, information and communications technology, and promoting regional communications technology, and promoting regional economic integration. economic integration.


ASEAN FOUNDATION

Infrastructure development: Infrastructure development: coordinated by Cambodiacoordinated by Cambodia

Aims to improve access, efficiency and Aims to improve access, efficiency and quality of transport and energy infrastructure quality of transport and energy infrastructure to enhance the sub-region’s ability to attract to enhance the sub-region’s ability to attract trade and investment and promote further trade and investment and promote further integration.integration.


ASEAN FOUNDATION

Human resource development: Human resource development: coordinated by Laoscoordinated by Laos

Aims to raise and strengthen the productive Aims to raise and strengthen the productive capacities of CLMV countries through higher capacities of CLMV countries through higher education and skills training by supporting education and skills training by supporting and developing their policy and institutional and developing their policy and institutional frameworks.frameworks.


ASEAN FOUNDATION

Information and communications technology: Information and communications technology: coordinated by Myanmarcoordinated by Myanmar

Offers a means to leapfrog development of Offers a means to leapfrog development of CLMV countries by supporting the CLMV countries by supporting the development of ICT to reduce the digital development of ICT to reduce the digital divide and facilitate trade and investment in divide and facilitate trade and investment in the ICT sector.the ICT sector.


ASEAN FOUNDATION

Regional economic integration: Regional economic integration: coordinated by Vietnamcoordinated by Vietnam

Aims to enable CLMV countries to participate Aims to enable CLMV countries to participate effectively in the ASEAN Free Trade Area, effectively in the ASEAN Free Trade Area, the ASEAN Investment Area, the the ASEAN Investment Area, the liberalization of trade in services, and liberalization of trade in services, and ultimately in the development of a single ultimately in the development of a single market and production base.market and production base.


ASEAN FOUNDATION

Table 7: Status of IAI Projects Table 7: Status of IAI Projects

Projects with full funding Completed 116 On-going 37 Planning for implementation 5

158

Projects with partial funding 6

Projects being considered for funding 15

Projects with no funding 24

Total 203


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Table 8: Program Areas Covered by ProjectsTable 8: Program Areas Covered by ProjectsInfrastructure 24

Transport 12

Energy 12

Human Resource Development 69

Public sector capacity building 51

Labor and employment 12

Higher education 6

Information and Communications Technology 31

Regional Economic Integration 53

Trade in goods and services 19

Customs 14

Standards 14

Investments 6

Tourism 8

Poverty and Quality of Life 5

General Coverage Projects 13

Total 203


ASEAN FOUNDATION

Table 9: ASEAN-6 Contribution to IAI ProjectsTable 9: ASEAN-6 Contribution to IAI Projects

Country Number of Projects Amount (‘000 US$)

Brunei Darussalam 8 1,500

Indonesia 9 805

Malaysia 58 4,823

Philippines 9 558

Singapore 33 22,811

Thailand 13 481

Total 130 30,978


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Table 10: Bilateral Contribution to CLMV CountriesTable 10: Bilateral Contribution to CLMV Countries

Country No. of Projects Amount (‘000 US$)

Brunei Darussalam 4 359

Indonesia 29 1,662

Malaysia 62 5,874

Philippines 31 262

Singapore 56 53,055

Thailand 97 100,358

Total 221 160,570


ASEAN FOUNDATION

At the 14At the 14thth ASEAN Summit, the Leaders are ASEAN Summit, the Leaders are expected to adopt the Second IAI Work Plan. expected to adopt the Second IAI Work Plan. While capacity building and human resource While capacity building and human resource development was a key focus of the 1development was a key focus of the 1stst IAI IAI Work Plan, the 2Work Plan, the 2ndnd will focus on the will focus on the development of infrastructure as a means to development of infrastructure as a means to deepen ASEAN integration and deepen ASEAN integration and competitiveness. competitiveness.


ASEAN FOUNDATION

Objectives of the ASEAN Foundation: Objectives of the ASEAN Foundation:

Promote greater awareness of ASEAN, and Promote greater awareness of ASEAN, and greater interaction among the peoples of greater interaction among the peoples of ASEAN as well as their wider participation in ASEAN as well as their wider participation in ASEAN’s activities ASEAN’s activities

Contribute to the evolution of a development Contribute to the evolution of a development cooperation strategy that promotes mutual cooperation strategy that promotes mutual assistance, equitable economic development, assistance, equitable economic development, and the alleviation of poverty. and the alleviation of poverty.


ASEAN FOUNDATION

Table 11a: Completed projects related to poverty alleviation and Table 11a: Completed projects related to poverty alleviation and CLMVCLMV

Title of Project Amount (US$)

Support projects for ASEAN’s small and medium enterprises 211,055

Training course for national economic management and poverty eradication 46,727

Workshop on technical vocational education and training for women’s economic empowerment

59,797

Trainers’ training on planning and management of literacy programs for poverty alleviation

43,248

Training course for the promotion of the ASEAN National Agriculture Research System

82,750

Training project for lecturers and farmers from ASEAN countries in the area of rural development

61,255

The promotion of sustainable fisheries through south-south cooperation in the ASEAN region

175,190

Conference on sustainable fisheries: food security for the people 418,275

Human resource development program 211,710

Looking to the future for deprived children in the ASEAN region 175,547


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Table 11b: Completed projects related to poverty alleviation and CLMVTable 11b: Completed projects related to poverty alleviation and CLMV


Cooperative capacity building on “The ASEAN Development Experience” 392,043

Capacity building for the improvement of the fishery statistical system 200,000

Comprehensive capacity building for sustainable development in the Greater Mekong Region

353,584

Community based HIV/AIDS management course 400,736

Support program for AUN SEEDNet 317,510

Human resource development and institutional capacity building in CLMV 86,903

Energy efficiency and renewable energy for Greater Mekong Region 82,153

Capacity building for ASEAN SMEs 72,811

HRD program in participatory project cycle management for the Mekong Region

39,363

Productivity and quality management program for SMEs 72,084


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Table 11c: Completed projects related to poverty alleviation and CLMVTable 11c: Completed projects related to poverty alleviation and CLMV


HRD for sustainable development of fisheries 181,282

Capacity building in biomass utilization 80,635

Capacity building on supply chain management for small agribusiness in the Mekong Region

29,848

Development of productivity specialists 110,108

Women, gender and cooperatives: meeting challenges and identifying opportunities

76,688

Scholarships for the smart but poor in ASEAN 152,406

Training workshop on financial management for self-employment 91,102

Training on diversified farming using participatory approach 30,496

Training on integrated quality system for agri-food processing 94,284

Asian farmer’s exchange learning and networking 250,233


ASEAN FOUNDATION

Table 11d: Completed projects related to poverty alleviation and CLMVTable 11d: Completed projects related to poverty alleviation and CLMV


Capacity building for sustainable development in the Greater Mekong Sub-region 24,891

Community leadership and entrepreneurship for young agri-graduates 92,220

Regional workshop on drying technology 219,103

Agri-food processing for ASEAN SMEs 114,704

Training on sustainable farming techniques 168,312

Regional agricultural modernization 68,209

HRD program on biotechnology for CLMV 74,869

Promoting economic empowerment of women 157,953

Training people to help the poor and disadvantaged 30,168


ASEAN FOUNDATION

Table 11e: Completed projects related to poverty alleviation and Table 11e: Completed projects related to poverty alleviation and CLMVCLMV


Technical vocational education and training for CLMV countries 73,978

Training on risk assessment of agriculture-related GMOs 83,555

Training on ground water resource development in CLMV 68,739

Strengthening of ICT in schools 209,439

Higher education management in CLMV 32,296

Community leadership and entrepreneurship for SMEs in GMS 29,307

Strengthening ICT in schools 63,823

ICT training in developing countries 73,282

Total of Completed Projects 6,184,671


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Table 12: On-going projects related to poverty alleviation and CLMVTable 12: On-going projects related to poverty alleviation and CLMV


Capacity building in poverty mapping in ASEAN 283,013

Promotion of FOVOP system to improve livelihood of fishery communities 241,246

Capacity building for gender, poverty and mobility analysis of road transportation in GMS Region

329,976

Regional conferences for AUN SEEDNet Phase 2 778,734

HRD on poverty alleviation and food security by fisheries intervention 463,837

Scholarships for postgraduate studies 734,668

Building capacities for women entrepreneur for micro-enterprise development

180,785

Linking small farmers to the market 439,725

Communication information system for the control of avian influenza in Lao PDR and Vietnam

1,051,248

Strengthening capacity of small holder aquaculture farmers 192,706

Collaborative project on nutrition surveillance 79,279

Total of On-going Projects 4,775,217

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