India, China, two reasons for economic integration: Susilo
Meidyatama Suryodiningrat, The Jakarta Post, Vientiane
President Susilo Bambang Yudhoyono arrived in the Laotian capital on Sunday with a strong message about Indonesia's commitment to free trade, open investment and a pledge to increase the efficiency of economic transactions.
Susilo, who is set to attend his inaugural ASEAN Leaders Summit on Monday, stressed the importance of greater economic integration and consistent efforts to boost the economic attractiveness of the region. Following this path, the 10 ASEAN member states would end up wielding greater international diplomatic power, he said.
Speaking before some 300 executives at the ASEAN Business and Investment Summit, the President's remarks showed he was well- aware of the repeated complaints by many businesspeople about Indonesia.
"Governments, and I am speaking for my own country as well, need to increase the efficiency of all economic transactions in the region," he said.
"A country where property rights are absent, trade policies are highly restrictive and corruption is rampant, is unlikely to enjoy rapid economic growth."
He cited two simple reasons for the need for greater economic integration: India and China. Calling China "a magnet for foreign investors" and "unbeatable as a manufacturing outlet," Susilo said he remained confident Southeast Asia could still stake a claim in the shrinking investment pie.
"Businesses seek to reduce risk, and investing too much in one location increases those risks. We have to take advantage of their strategy of diversification," he said.
Despite being new on the job, Susilo showed no signs of awkwardness in his first ASEAN meeting as president. Warmly greeting people, often with a two-handed handshake, he played his part with little hesitation.
In the evening he had a whirlwind of bilateral meetings with leaders from China, Cambodia, India, Laos and Thailand, before heading for an informal dinner hosted by Laotian Prime Minister Bounnhang Vorachith.
Heading a delegation, which includes Coordinating Minister for the Economy Aburizal Bakrie, Coordinating Minister for Political, legal and Security Affairs Widodo AS, Foreign Minister Hassan Wirayuda, Minister of Trade Mari Pangestu and State Secretary Yusril Ihza Mahendra, the president is one of 16 leaders -- one king, three presidents and 12 prime ministers -- to attend what will be the biggest Asian gathering of the year.
Not only will the leaders of all the ASEAN member states be attendance, but summit meetings will also be held with leaders from China, Japan, South Korea, India, Australia and New Zealand.
The Laotian government has pulled all the stops to make the summit an event to remember, seemingly at the expense of the ordinary Laotian citizen.
A quaint and small city of about 600,000 under normal circumstances, Vientiane streets were cleared of all "unnecessary" traffic. Taxis and other public transport such as Thai-modeled tuk-tuk were barred from streets. Roads had been beautified and residents were encouraged to abstain from any unnecessary traveling during the proceedings.
Laotian women seemed to heed the encouragement of local officials to only go out in their traditional sarongs, sinh, and a virtual curfew began 10 p.m., resulting in a quiet, atmosphere- less city.
The security, which some might call excessive sterilization, was aimed at neutralizing the potential threats from armed guerrillas known to be active in remote regions in the country.
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