By H.E. Ahmad Nazri Yusof, Ambassador of Malaysia to the Kingdom of the Netherlands.
On 8 August 2016, ASEAN celebrated its 49th anniversary. On that day, all ASEAN capitals and embassies across the world hosted simple yet meaningful ceremonies to commemorate and renew the spirit of togetherness and cooperation instilled by the ASEAN forefathers almost five decades ago. ASEAN has come a long way indeed.
At the height of the Vietnam War and the Cold War, the need to lay the foundations for enhanced peace and stability, progress and development in the region became increasingly inevitable. As it was also a time when the region was confronted with issues of overlapping territorial disputes, political and economic uncertainties and suspicions, questions arose as to how countries could manage their differences peacefully, avoid confrontation and create stability for economic development.
Against this backdrop ASEAN came into being, aided by the commitment and dedication of the five founding members–Malaysia, Indonesia, the Philippines, Singapore and Thailand–to work together to shape the area into a politically and economically stable, dynamic region in Asia.
On 8 August 1967, the five founding members signed the Bangkok Declaration, signifying the birth of a new regional organisation, the Association of South East Asia Nations, ASEAN.
During the next decades, ASEAN expanded as other countries in the region joined–Brunei in 1984, Vietnam in 1995, Laos and Myanmar in 1997 and Cambodia in 1999–and became a grouping of ten nations.
Since then, ASEAN has maintained a central role in shaping the architecture of the region, while it also acquired a significant voice and role internationally.
Next year ASEAN will celebrate its 50th anniversary. As one of the founding members, Malaysia is proud of the progress and various achievements made over the years. ASEAN has grown from an organisation that manages common threats, such as communist insurgencies and regional disputes, into a community that is historically, economically and politically intertwined–one that shares common values, respect, hopes and vision and one that puts its people at the heart of its development goal.
In February 2009, during its 14th summit, ASEAN adopted a Roadmap for the ASEAN Community, which was to be achieved by 2015. It comprised three main pillars: the ASEAN Political-Security Community (APSC), the ASEAN Economic Community (AEC) and the ASEAN Socio-Cultural Community (ASSC).
Forty-eight years into its existence and during Malaysia’s Chairmanship last year, the ASEAN Roadmap was realised through the implementation of the remaining action lines of the three pillars, a milestone for ASEAN. It marked one of the most historic successes of ASEAN as well as the beginning of its journey as a single community and demonstrated a manifestation of clear commitment of all ten ASEAN member states to move forward together as one entity and community.
Nevertheless, ASEAN community building remains very much a work in progress, with mounting challenges and daunting tasks ahead and gaps between commitments and implementation to be closed. Therefore ASEAN must continue working together to strengthen institutions, create a common culture and understanding and attain a balance between common domestic-regional interests.
Furthermore, the ASEAN Community must be able from now on to respond more effectively to the emerging threats and challenges as well as opportunities presented by the rapidly changing regional and global landscape.
Malaysia believes that to build a stronger and more prosperous ASEAN Community the people of ASEAN should not only benefit from but also participate in and contribute to ASEAN Community building efforts. The momentum must be maintained to ensure political cohesion and economic integration, while social and regional inclusion must remain on track. Thus, instilling a sense of belonging and identity within the people across the ten ASEAN nations is a prerequisite.
One of the most important components of the Roadmap is the ASEAN Economic Community (AEC), which outlines how to meet the stated goal of regional economic integration and how to create a single market and production base as well as free movement of goods, services and labour. The aim is to ensure that ASEAN is deeply integrated and remains a cohesive economy that will in turn enhance regional economic connectivity and inclusive growth and continues to strengthen its links with trading partners and other regional groupings.
The realisation of the ASEAN Community constituted a major achievement for ASEAN as a regional grouping, which will have far-reaching positive effects not only within the region but across the world. For instance, the European Union (EU), one of ASEAN’s most important dialogue partners, is expected to benefit from this process, politically and even more so economically.
Collectively, the ASEAN economy is the third-largest economy in Asia and the seventh-largest in the world with a GDP exceeding USD 2.5 trillion. ASEAN’s total export to the EU in 2015 is valued at USD 118 billion and import is valued at USD 83 billion. In addition, the ASEAN region has become one of the most attractive tourist destinations in Asia today.
Experts forecast that ASEAN could become the world’s fourth-largest economy behind China, the US and the EU bloc in the near future.
On the Netherlands-ASEAN economic relations, total trade in 2015 amounted to USD 32.75 billion, making ASEAN its second-largest regional trading partner. With a population of 620 million people, a GDP of USD 2.5 trillion and 70 per cent of the population below the age of 45, youth forms a huge part of ASEAN’s human resources. In fact, it is the third-largest labour force in the world. Therefore ASEAN has much to offer to Dutch businesses and investors.
Malaysia, like all other ASEAN members, is looking forward to benefit from this process and evolution. Located at the heart of the region and providing access to a market of more than 620 million people, Malaysia is one of the most important markets and the first import destination for the Netherlands among the ASEAN countries. With a long history of close economic relations, the Netherlands is Malaysia’s largest export market in Europe and 14th largest trading partner as well as one of its largest sources of foreign investment.
The economic potential of the region is enormous. The continued political and economic stability that has contributed to the resilience and dynamism of the region in the past several decades is of paramount importance. Moving forward should be no different.
Photography by Ms Nur Airin Rashid, Embassy of Malaysia in The Hague.