Goh hails Thaksin as next ASEAN leader

Goh hails Thaksin as next ASEAN leader

Agence France-Presse, Bangkok

Thai Prime Minister Thaksin Shinawatra will become the key driver of Southeast Asia following the upcoming retirement of Malaysian Premier Mahathir Mohamad, Singapore's Prime Minister Goh Chok Tong was quoted as saying on Monday.

In an interview with The Bangkok Post, Goh said with key political changes imminent in Malaysia and Singapore, Thaksin would emerge as one of the grouping's most prominent statesmen.

"At this stage, Thailand has a prime minister who is confident of himself and of the country," Goh said ahead of the Asia Pacific Economic Cooperation summit in Bangkok starting on Monday.

"Malaysia will have a new prime minister and Singapore will have a new leader in one or two years. That's why I think the one who can drive things is Thaksin.

"He realizes the importance of integrating Thailand with other ASEAN (Association of Southeast Asian Nations) countries ... to create a bigger market, and help Thailand become a developed country," he said.

"He has the vision and drive. That's why I say Thailand can be a regional leader."

Goh expressed optimism over the region's economic prospects for 2004, saying the United States was maintaining favorable fiscal, monetary and currency policies that would result in continued growth.

The Japanese economy was also "starting to stir" and regional stock markets were experiencing a resurgence, he said.

However, Goh warned any new leaders of ASEAN would face different challenges from their predecessors.

"The main challenge they will face is how to restructure their economies to compete against China and India," he said.

"All of a sudden you have two gigantic factories. These are not just factories producing cheap goods, but they produce a range of goods from low to high value. And they are able to provide the services that we are not providing."

Goh said the successful restructuring of ASEAN economies would require increased consumption and investment on a local basis, as well as a reduction in bureaucratic red tape and a crackdown on corruption, according to the Post.

Steps toward forging free-trade pacts with China, Japan and India to create an "East Asian community" would also be necessary, he said.

Goh said he would "phase out" his leadership before 2005, when he would hand over the reins of the Singaporean government to his successor.

Indonesia would remain a key player in the region, Goh said, but added the picture would only become clearer after the country held elections next year.

"Whatever it (its role) is, Indonesia must remain a key player in ASEAN because of its size," Goh said.

Goh told the Post he was "optimistic and not concerned" about Malaysia's upcoming political transition.

"(Dr. Mahathir) is leaving behind a good ship with good officers and an engine working very well. So his successor should be able to carry on from there without too much difficulty," Goh said.

Goh was also upbeat about the incoming Malaysian leader, Abdullah Badawi, saying he can do much more than what people think he is capable of doing.