ASEAN must forge resilient, integrated economy amid global headwinds

29 Jul 2025 • 5:37 PM MYT
The Vibes
The Vibes

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ASEAN must forge resilient, integrated economy amid global headwinds

PRIME MINISTER Datuk Seri Anwar Ibrahim has urged ASEAN to focus inward by building a more integrated and resilient regional economy to navigate an increasingly uncertain global environment.

Delivering his policy address at the ASEAN Secretariat in Jakarta on Tuesday, Anwar, who currently chairs the regional bloc, said ASEAN must close development gaps and forge “stronger, more equitable economic linkages across member states” to fully realise the potential of its 660-million-strong market.

“The potential is undeniable, but to realise it fully, we must narrow the existing development gaps and forge stronger, more equitable economic linkages across member states,” he said.

Anwar stated that ASEAN would use the upcoming 47th ASEAN Summit in Kuala Lumpur to reaffirm its collective commitment to strengthening intra-regional trade through renewed efforts to eliminate tariff and non-tariff barriers.

“Through renewed efforts to reduce tariff and non-tariff barriers, we are taking meaningful steps towards creating a more seamless and dynamic ASEAN economic community that works for all, not just for some,” he said.

Anwar emphasised the importance of the Regional Comprehensive Economic Partnership (RCEP), describing it as central to ASEAN’s economic vision. “As the world’s largest trade agreement, it reinforces ASEAN’s role as the linchpin of regional economic architecture,” he noted.

He said the upcoming 5th RCEP Leaders’ Meeting, scheduled to take place on the sidelines of the ASEAN Summit, would present an opportunity to ensure RCEP delivers “tangible benefits for our businesses, workers, and communities”.

Anwar also underscored the need to strengthen regulatory clarity and consistency across borders. “We must also do more to ensure that businesses can operate with confidence and clarity across our borders,” he said.

Referencing the ASEAN-GCC-China Summit, Anwar said the bloc is poised to deepen international ties. “It reaffirms ASEAN’s shared determination to shape a future based on mutual respect, shared growth, and strategic cooperation,” he added.

He identified the digital economy as a critical growth driver, and said ASEAN is committed to finalising the ASEAN Digital Economy Framework Agreement while modernising trade pacts with partners including China, India and South Korea.

“These efforts reflect ASEAN’s readiness to embrace change and position it at the forefront of digital transformation,” he said.

“ASEAN must be an agent of change – one that has the capacity to shape the global rules and norms to remain open, inclusive and firmly rooted in the principle of justice,” he added.

Anwar reiterated ASEAN’s longstanding commitment to regionalism and multilateralism as the bedrock of stability and progress. “As an outward-looking organisation in a multipolar world, ASEAN must continue to punch above its weight by broadening its global partnerships,” he said. “But we should engage as equals. And above all, we must be the speakers and not the spoken for.”

Malaysia’s Diplomatic Efforts Praised Amid ASEAN Ceasefire Success

Separately, Deputy Minister of Communications Teo Nie Ching called on all quarters to respect Malaysia’s diplomatic efforts to broker a ceasefire between Cambodia and Thailand, warning against politicising such initiatives.

“Even if there are political differences, no leader should mock or belittle this matter,” she told reporters on Tuesday. “There have been lives lost. This is a serious issue that demands respect and solidarity.”

Teo said Prime Minister Anwar Ibrahim had effectively used Malaysia’s ASEAN chairmanship to facilitate a meeting in Putrajaya that resulted in an immediate and unconditional ceasefire between Bangkok and Phnom Penh.

“As Malaysians, we should be proud of what the Prime Minister has achieved—not only for Thailand and Cambodia but also for the wider ASEAN region,” she said.

The special meeting chaired by Anwar was attended by Cambodian Prime Minister Hun Manet and Thailand’s Acting Prime Minister Phumtham Wechayachai. - July 29, 2025