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ASEAN: A Community of Opportunities

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1 ASEAN: A Community of Opportunities

2 A huge market: 622 million+ people
ASEAN – Asia’s Economic Powerhouse GDP: USD 2.6 trillion A huge market: 622 million+ people FDI USD 136 billion+ Population: 622million (2014) Land area: 4,435,618  sq. km.  GDP: US$ 2.6 trillion (2014) and GDP per capita USD 4,135 Trade: US$ 2.51 trillion (2014) -- Exports = USD 1,271,128 Million; Imports = USD 1,240,388 Million Foreign Direct Investment (FDI): US$ 136 billion (2014) Source : ASEAN Economic Community at a Glance

3 ASEAN If ASEAN were a single country, it would already be the seventh-largest economy in the world, with a combined GDP of $2.4 trillion in 2013. It is projected to rank as the fourth-largest economy by 2050. McKinsey & Co – May 2014 Population: 622million (2014) Land area: 4,435,618  sq. km.  GDP: US$ 2.6 trillion (2014) and GDP per capita USD 4,135 Trade: US$ 2.51 trillion (2014) -- Exports = USD 1,271,128 Million; Imports = USD 1,240,388 Million Foreign Direct Investment (FDI): US$ 136 billion (2014) Source : ASEAN Economic Community at a Glance

4 ASEAN Highly connected: Physically, Institutionally and among the Peoples Free trade agreements with major regional economies Young educated labor force Highly connected region: Indonesia’s mobile phone penetration: 109%; Bangkok is the Facebook capital of the world; 81% of Vietnamese use social media; Philippines has 30 million Facebook users Young educated labour force: youth aged account for 27% of ASEAN’s population; they are mostly educated and tech savvy ASEAN signed FTAs with China, Japan, South Korea, India, New Zealand and Australia.

5 DIVERSE ASEAN… Home to major religions Rich culture
Courtesy of ASEAN National Tourism Organisations Courtesy of ASEAN National Tourism Organisations Courtesy of ASEAN National Tourism Organisations ASEAN people practice Islam, Christianity, Buddhism, Hinduism, etc It has varied topography and vast natural resources, with rich mineral deposits, oil deposits, etc. ASEAN people have rich cultural traditions and heritage. Tourism in ASEAN: Total visitor Arrival to ASEAN: 98,016,001 person Tourist originating from fellow ASEAN Member States: 43,559,100 Annual toursist arrivals were up from 62 million in 2007 to 105 million in 2014, almost half of which were intra-ASEAN Vast natural resources

6 ASEAN: Association of South East Asian Nations
10 MEMBER STATES Brunei Darussalam (7 January 1984) Cambodia (30 April 1999) Indonesia (8 August 1967) Lao PDR (23 July 1997) Malaysia (8 August 1967) Myanmar (23 July 1997) Philippines (8 August 1967) Singapore (8 August 1967) Thailand (8 August 1967) Viet Nam (28 July 1995)

7 The ASEAN Journey to Community Building
2015 ASEAN Community 2007 Cebu Declaration 2003 Bali Concord II 1997 ASEAN Vision 2020 1967 Bangkok Declaration

8 The ASEAN Journey to Community Building
Bangkok Declaration “Accelerate the economic growth, social progress and cultural development in the region through joint endeavors.” “Promote regional peace and stability through abiding respect for justice and the rule of law.” 1967

9 The ASEAN Journey to Community Building
ASEAN Vision 2020 “ASEAN as a concert of Southeast Asian nations, outward looking, living in peace, stability and prosperity, bonded together in partnership in dynamic development and in a community of caring societies.” 1997

10 The ASEAN Journey to Community Building
Bali Concord II “An ASEAN Community shall be established comprising three pillars, namely political and security cooperation, economic cooperation, and socio-cultural cooperation…” 2003

11 The ASEAN Journey to Community Building
12th ASEAN Summit Cebu, Philippines “Accelerate the establishment of an ASEAN Community by 2015…” 2007

12 The ASEAN Journey to Community Building
Strengthening Framework of ASEAN Integration ASEAN Charter Roadmap for an ASEAN Community 2009– Master Plan on ASEAN Connectivity 2010

13 Why an ASEAN Community? Need to intensify political cooperation, strengthen peace and security in Southeast Asia Enhance economic competitiveness of individual Member States, and of ASEAN as regional market and production base for global economic competition Need to narrow the development gaps Need to respond effectively to transnational threats to human security and new challenges in the 21st century Harness human resources and benefit from rich cultural diversity in the ASEAN region Gain international recognition and support for community- building

14 The ASEAN Journey to Community Building
Coordination Mechanism of the ASEAN Integration

15 The ASEAN Journey to Community Building
Coordination Mechanism of the ASEAN Integration

16 Overview of the ASEAN Community
ASEAN Political Security Community (APSC) Ensures that the peoples and Member States of ASEAN live in peace with one another and with the world at large in a just, democratic and harmonious environment. ASEAN Economic Community (AEC) Transforms ASEAN into a stable, prosperous, and highly competitive region with equitable economic development, and reduced poverty and socio-economic disparities. ASEAN Socio-Cultural Community (ASCC) Contributes to realising an ASEAN Community that is people-oriented and socially responsible with a view to achieving enduring solidarity and unity among the peoples and Member States of ASEAN. Narrowing the Development Gap (NDG) Progressing together through cooperation in development.

17 The Community Building Milestones
ASEAN Political-Security Community Ensure that the peoples and Member States of ASEAN live in peace with one another and with the world at large Strengthen the mutually beneficial relations between ASEAN and its Dialogue Partners and friends. Maintains the centrality and proactive role of ASEAN in a regional architecture that is open, transparent and inclusive, while remaining actively engaged, forward-looking and non-discriminatory

18 The Community Building Milestones
ASEAN Political-Security Community – Milestones International recognition of the Treaty of Amity and Cooperation as a key code of conduct for inter-state relations in the region has grown remarkably. The TAC now has 32 High Contracting Parties.

19 The Community Building Milestones
ASEAN Political-Security Community – Milestones 78 Non-ASEAN Member States and organizations have accredited their Ambassadors to ASEAN. ASEAN has established 42 ASEAN Committees in Third Countries around the globe to further contribute to raise ASEAN awareness and profile.

20 The Community Building Milestones
ASEAN Economic Community Establish ASEAN as:

21 The Community Building Milestones

22 The Community Building Milestones
AEC Key Achievements Free flow of goods: The ASEAN Trade in Goods Agreement (ATIGA). Free flow of services: The ASEAN Framework Agreement on Services (AFAS) and the Mutual Recognition Arrangements. Free flow of investment: The ASEAN Comprehensive Investment Agreement (ACIA) and the Protocol to Amend the ACIA. Freer flow of capital: Implementation of measures to further spur financial services liberalisation, capital market development, and capital account liberalisation. Free flow of skilled labour: The ASEAN Agreement on the Movement of Natural Persons and the ASEAN Qualification Reference Framework (AQRF). Free flow of goods: The ASEAN Trade in Goods Agreement (ATIGA) -- the elimination of tariffs and addressing nontariff measures/barriers in the region; efforts to integrate customs procedures; create National Single Windows and the ASEAN Single Window; and harmonise standards and conformance procedures. Free flow of services: The ASEAN Framework Agreement on Services (AFAS) -- restrictions to cross‐border services trade in at least 80 subsectors have been eased; allows the movement of professional services for overall services integration in ASEAN. To date, Mutual Recognition Arrangements for 8 professional services have been signed. Free flow of investment: The ASEAN Comprehensive Investment Agreement (ACIA) commitments to liberalise and protect cross-border investment activities while embracing international best practices in the treatment of foreign investors and investment. Supported by the Protocol to Amend the ACIA on the mandate and procedures for improving the investment regime in ASEAN. Freer flow of capital: Efforts to facilitate freer flow of capital continued with the implementation of measures to further spur financial services liberalisation, capital market development, and capital account liberalisation. Free flow of skilled labour: The ASEAN Agreement on the Movement of Natural Persons, which was signed in November 2012,  provides the legal framework to facilitate temporary cross‐border movement of people engaged in the conduct of trade in goods, services and investment. To facilitate the movement of professionals, the ASEAN Qualification Reference Framework (AQRF) was endorsed in August 2014 to provide a standard for voluntary cross-referencing among the different National Qualification Frameworks of AMS.

23 The Community Building Milestones
AEC Key Achievements For Pillar 2 (Competitive Economic Region), measures to develop capacities and frameworks on competition policy and law, consumer protection and IPR, and infrastructure development measures to enhance the region’s competitiveness and connectivity. To narrow the development gaps (Pillar 3), ASEAN Leaders endorsed the ASEAN Framework on Equitable Economic Development (EED) in November 2011. On‐going negotiations for the Regional Comprehensive Economic Partnership (RCEP) and preparations for the ASEAN‐Hong Kong Free Trade Area (AHKFTA) negotiations. For Pillar 2 (Competitive Economic Region), measures have been implemented to develop capacities and frameworks on competition policy and law, consumer protection and IPR, and infrastructure development measures to enhance the region’s competitiveness and connectivity. To narrow the development gaps (Pillar 3), ASEAN Leaders endorsed the ASEAN Framework on Equitable Economic Development (EED) in November To help operationalise the AFEED, the first ASEAN Equitable Development Monitor was presented to ASEAN Leaders in November 2014, which analyses trends in equitable development across the region and identifies areas for priority action. Work on integrating ASEAN into the global economy (Pillar IV) focused on the implementation of the ASEAN+1 FTAs, the on‐going negotiations for the Regional Comprehensive Economic Partnership (RCEP) and preparations for the ASEAN‐Hong Kong Free Trade Area (AHKFTA) negotiations.

24 The Community Building Milestones
ASEAN SOCIO-CULTURAL COMMUNITY Realising an ASEAN Community that is people-oriented and socially responsible to achieve enduring solidarity and unity among the peoples and Member States of ASEAN. Forming a common identity and build a caring and sharing society which is inclusive and where the well-being, livelihood, and welfare of the peoples are enhanced.

25 The Community Building Milestones
ASEAN SOCIO-CULTURAL COMMUNITY Heightened Commitments Declaration on Non-communicable Diseases in ASEAN Declaration on Elimination of Violence Against Women and Elimination of Violence Against Children in ASEAN Development of ASEAN instruments for the protection and promotion of the rights of migrant workers

26 The Community Building Milestones
ASEAN SOCIO-CULTURAL COMMUNITY Quick, tangible action Humanitarian assistance through the ASEAN Coordinating Centre for Humanitarian Assistance (AHA Centre)

27 Post-2015 ASEAN 23rd SUMMIT – BANDAR SERI BEGAWAN DECLARATION ON THE ASEAN COMMUNITY’S POST-2015 VISION Vision: “A politically cohesive, economically integrated, socially responsible, and truly people-oriented, people-centered and rules-based ASEAN” Started this year (2014) and to be launched by the Leaders at the end of 2015 Started this year and to be finalized and launched by the Leaders of ASEAN by the end of 2015 various ideas enjoying broad support have been floated on what such an ASEAN Community’s post-2015 Vision should encompass

28 Central Elements Enhance and consolidate the ASEAN Community through deeper and more comprehensive process of integration Emphasis on centrality of ASEAN Emphasis on integrated economies, equitable development of the ASEAN Member States Contain aspirational goals. One such goal is to halve the number of people living in poverty in ASEAN countries and double the combined GDP of ASEAN by 2030. A work in progress ASEAN Community is a process, not an event

29 Post-2015 Vision - APSC An ASEAN Political-Security Community where peace, stability and security prevail and the peoples live in a safe and secured environment, with shared principles, values and norms, with enhanced external relations in depth and scope, strengthened ASEAN's centrality in the regional architecture, and an ASEAN common platform on global issues. From the Nay Pyi Taw Declaration on the ASEAN Community's Post-2015 Vision, 12 November 2014

30 Post-2015 Vision - AEC An ASEAN Economic Community for (AEC 2025) that includes an integrated and highly cohesive economy, a competitive, innovative and dynamic ASEAN, a resilient, inclusive and people-oriented, people-centred ASEAN, enhanced sectoral integration and cooperation, and a global ASEAN.

31 Post-2015 Vision - ASCC An ASEAN Socio-Cultural Community that is inclusive, sustainable, resilient, dynamic and engages and benefits the people.

32 ASEAN 2025: Forging Ahead Together
Endorsed by the Leaders at 27th Summit Charts the path for ASEAN Community building over the next ten years. A forward looking roadmap that articulates ASEAN goals and aspirations to realise further consolidation, integration and stronger cohesiveness as a Community.

33 ASEAN Organs Committee of Permanent Representatives (CPR)
As stipulated in Article 12 of the ASEAN Charter, each ASEAN Member State shall appoint a Permanent Representative to ASEAN with the rank of Ambassador based in Jakarta. The Permanent Representatives collectively constitute a Committee of Permanent Representatives (CPR), which shall: support the work of the ASEAN Community Councils and ASEAN Sectoral Ministerial Bodies; coordinate with ASEAN National Secretariats and other ASEAN Sectoral Ministerial Bodies; liaise with the Secretary-General of ASEAN and the ASEAN Secretariat on all subjects relevant to its work; facilitate ASEAN cooperation with external partners; and perform such other functions as may be determined by the ASEAN Coordinating Council.

34 ASEAN Organs ASEAN Intergovernmental Commission on Human Rights (AICHR) Pursuant to Article 14 of the ASEAN Charter, the AICHR was officially inaugurated at the 15th ASEAN Summit on 23 October 2009. 14 mandates and functions of AICHR 10 Representatives Line of Reporting: ASEAN Foreign Ministers Meeting (AMM) Chair of AICHR: the Representative of the Member State holding the Chairmanship of ASEAN Two regular meetings (ASEAN Secretariat and AMS holding Chairpersonship); with additional meetings when necessary Interface meetings with Foreign Ministers / AMM Consultation and consensus

35 ASEAN Organs ASEAN Foundation
The ASEAN Foundation is a unique ASEAN organ established in 1997, and is a separate organisation from the ASEAN Secretariat. As mandated in Article 15 of the ASEAN Charter, the ASEAN Foundation is expected to: Support the Secretary-General of ASEAN; and Collaborate with the relevant ASEAN bodies to support ASEAN community building The ASEAN Foundation objectives as reflected in the Memorandum of Understanding (MoU) on the establishment of the ASEAN Foundation are: The Foundation shall promote greater awareness of ASEAN, and greater interaction among the peoples of ASEAN as well as their wider participation in ASEAN's activities inter alia through human resources development that will enable them to realize their full potential and capacity to contribute to progress of ASEAN Member States as productive and responsible members of society. The Foundation shall also endeavor to contribute to the evolution of a development cooperation strategy that promotes mutual assistance, equitable economic development, and the alleviation of poverty. From the MoU, the ASEAN Foundation mandates can be recapitulate as follows: Promoting ASEAN Awareness and Identity Enhancing Interaction among Various ASEAN Stakeholders Developing Human Resources and Capacity Building Addressing Socio-Economic Disparities and Alleviating Poverty

36 ASEAN Secretariat Established on 24 February 1976 by the Foreign Ministers of ASEAN Existing ASEAN Secretariat premises in Jakarta officiated in 1981 Staff recruited locally and from the ASEAN Member States ASEC Vision: By 2015, ASEC will be the nerve centre of a strong and confident ASEAN Community that is globally respected for acting in full compliance with its Charter and in the best interest of its people. ASEC Mission: ASEC’s Mission is to initiate, facilitate and coordinate ASEAN stakeholder collaboration in realising the purposes and principles of ASEAN as reflected in the ASEAN Charter.

37

38 ASEAN Secretariat’s Basic Function
Provide for greater efficiency in the coordination of ASEAN organs and for more effective implementation of ASEAN projects and activities.

39 Secretary-General of ASEAN (2013-2017)
H.E. Le Luong Minh from Viet Nam Carry out duties and responsibilities in accordance with the provisions of the Charter and relevant ASEAN instruments, protocols and established practices Facilitate and monitor progress in the implementation of ASEAN agreements and decisions Participate in meetings of the ASEAN Summit, ASEAN Community Council, ASEAN Coordinating Council, and sectoral Ministerial bodies

40 Deputy Secretaries-General
The ASEAN SG is assisted by four Deputy Secretaries-General from different nationalities from SG and from four different ASEAN Member States. Hirubalan Dr Lim Vongthep Dr AKP V. P Hong Hin Arthakaivalvatee Mochtan (Singapore) (Brunei Darussalam) (Thailand) (Indonesia) APSC AEC ASCC Community and Corporate Affairs (CCA)

41 Conclusion

42 Jalan Sisingamangaraja 70 A
The ASEAN Secretariat Jalan Sisingamangaraja 70 A Jakarta 12110

43 Thank You


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