ASEAN projects mostly based on political factors
By I. Christianto
KUALA LUMPUR (JP): ASEAN governments have decided on many infrastructure projects based on political considerations which impede private participation, ASEAN Chamber of Commerce and Industry (CCI) chairman Aburizal Bakrie said here yesterday.
He was speaking at the High-level Roundtable for the Formulation of Strategic Plans for Cooperation and Promotion of Foreign Direct Investment in ASEAN.
Aburizal said infrastructure was one of the most important things in a development plan.
"The process of decision making in infrastructure projects must be done transparently to boost development," he said.
Aburizal, the first speaker from the private sector at the two-day event, said private firms would face difficulties in arranging their plans if political consideration played a large role in infrastructure projects.
ASEAN groups Brunei, Indonesia, Malaysia, the Philippines, Singapore, Thailand and Vietnam.
The discussion opened Monday featuring ASEAN Secretary-General Ajit Singh and Malaysia's Minister of International Trade and Industry Rafidah Aziz as the main speakers.
Other speakers at the two-day event, which ended yesterday, were CCI secretary general Setyanto P. Santosa and ASEAN Business Forum secretary general Mohd. Iqbal.
"The burgeoning growth of the ASEAN economies has been the product of four interlinked internal factors. They are extremely high rates of savings and investment, enthusiastic entrepreneurs, a highly motivated work-force which includes young well-educated businesspeople and professionals, and the supporting role of ASEAN government administrations."
ASEAN's international trade and the positive inflow of foreign direct investment, including appropriate technology and managerial know-how, were also supporting factors, he said.
He said the region's economic dynamism was the result of government and public sector initiatives. "It has gradually become private-driven growth since the governments have refocused their significant roles on developing economic infrastructure rather than being direct economic actors."
"We then assume that the drive of deregulation and debureaucratization process is on the right track. It not only has been developing an effective free market mechanism but also has unleashed human and business creative capacity -- in particular the small and medium enterprises."
"Development capacity must be put ahead of everything because it is the real engine of economic progress and upward sociocultural mobility," he said.
Aburizal stressed the importance of rural development.
"Rural development is important because most of ASEAN's 450 million people live in rural areas," he said.
Aburizal made a courtesy call on Malaysia's Deputy Prime Minister Anwar Ibrahim Monday flew to Manila yesterday to promote the first ASEAN business summit which will be in Jakarta next month. (icn)