ASEAN govt asked to stay out of marts

JAKARTA (JP): ASEAN governments should not interfere in markets unless it improves the business climate in ASEAN countries, said the chairman of the Indonesian Chamber of Commerce and Industry yesterday.

Aburizal Bakrie said it "would always be better" if the governments of the Association of Southeast Asian Nations (ASEAN) refrained from "managing development in detail".

"It would also be good if the governments refrained from intervening in market mechanisms unless it was for market- friendly steps," he said at the 27th congress of the International Association of Financial Executives Institutes.

Aburizal said that in a world heading toward a liberalized market economy, business organizations in ASEAN would remain powerful.

He said ASEAN governments, which have played an important economic role, would continue to be important in some areas.

"Neither the economy or the business sector can develop unless their surroundings are socially and politically stable; and only the governments hold constitutional rights to pursue such stability," he said.

Aburizal suggested that ASEAN corporations look for synergy to improve their combined performance through well-coordinated strategies.

"Synergistic cooperation can be perceived as both a strategic alliance and a competitive alliance," he said.

For this reason, he said, macroeconomic policies and imperatives should be reviewed to become more adaptive and supporting: "Thus, ASEAN governments and corporate leaders must go hand-in-hand."

Aburizal said ASEAN corporate synergy should not be inward- looking or protectionist, contending it would hamper global free trade.

Few business and investment opportunities can be exploited by ASEAN businesses alone. Therefore it is important to involve international and global counterparts while ASEAN corporations build up their ability to compete globally, Aburizal said.

ASEAN groups Brunei, Indonesia, Malaysia, the Philippines, Singapore, Thailand and Vietnam. (pwn)