ASEAN projects mostly based on political factors

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)