ASEAN ministers turn eyes to recession-wracked Japan
ASEAN ministers turn eyes to recession-wracked Japan
MANILA (DPA): Southeast Asian foreign ministers bludgeoned by economic havoc are looking to recession-gripped Japan to reinvigorate their economies and help cash-strapped governments.
On the eve of the 31st Association of Southeast Asian Nations (ASEAN) Ministerial Meeting, diplomats viewed developments in the world's second largest economy as key to determining whether the region's crisis deepens.
The havoc has taken an even greater dimension with U.S. Federal Reserve Chairman Alan Greenspan warning troubled Asian economies could deteriorate further. While describing Japan as "a crucial engine of Asian economic growth", he said activity so far has been disappointing.
Against heightened jitters over the slumping yen, a top ASEAN official said Japan will be asked by the nine-member bloc to give the "highest priority" to restructuring its financial system, accelerating the implementation of its fiscal stimulus package and reforming the tax system.
"ASEAN seeks to be a region unburdened by hunger, malnutrition, and poverty," said Philippine Foreign Affairs Secretary Domingo Siazon, who is chairing the meeting today and tomorrow. He expressed the hope the timetable for fulfilling these goals will not be jeopardized.
With Singapore assuming the chairmanship next year, Michael Cheok, director-general of the island-state's delegation, said, "We have to ensure that the efforts and initiatives of this organization are sustained and built upon."
Japanese Ambassador to the Philippines Hiroyuki Yushita has acknowledged foreign assistance disturbusements will eventually have to be reviewed, but Official Development Assistance grants are not immediately affected by problems at home.
Japan is ASEAN's largest trading partner and source of investment, with two-way trade amounting to US$483.2 billion from 1993 to June 1997. ASEAN's imports amounted to $311.1 billion and exports $172.1 billion.
The Japanese delegation facing their ASEAN counterparts at the dialog talks next week will not arrive totally empty-handed. Whether the mission is led by Foreign Minister Keizo Obuchi or a replacement, ASEAN counterparts from Brunei, Indonesia, Laos, Malaysia, Myanmar (Burma), Thailand, Singapore, Vietnam and the Philippines will have their opportunity to voice the necessity of immediate implementation of reforms.
Meetings will also take place between ASEAN and the other dialog partners including the United States, China, European Union, Russia, India, Australia, New Zealand, Canada and South Korea.
The U.S. delegation accompanying Secretary of State Madeleine Albright will include a Treasury Department official.
Japan has disclosed plans to elaborate on its readiness to train 20,000 ASEAN professions during a five-year program aimed at strengthening medium to long-term competitiveness of ASEAN industry by fostering human resources.
In accordance with a commitment made last December by then Prime Minister Hashimoto Ryutaro, Japan also intends to go ahead with high-level education and training in engineering, natural sciences and socio-economic management, utilizing Japanese companies in the region.
Japan and ASEAN have already agreed to cooperate in addressing market access issues, restructure the industrial sector to enhance ASEAN's competitiveness and facililitate transfer of technology.
Heartening for the Philippines was a signing ceremony this week committing Japan to a $3.75 million grant for road construction in impoverished western Mindanao.
-- Ruth Youngblood