FOR quite some time, the government has been encouraging micro, small, medium enterprises, which comprise 99 percent of the country's businesses, to take advantage of free trade agreements with other countries where they can infiltrate the market and promote their products and services.
In his opening remarks at the 12th Asean Finance Ministers' Investor Seminar at Shangrila-Mactan in Cebu recently, Finance Secretary Carlos Dominguez reiterated this call.
"I think it is very apt that the Asean, which is developing a strong economic cooperation among us, is being held in an area which is one of the main trading areas in the Philippines. It is here that we have learned that commercial cooperation brings economic prosperity to our people." he told participants composed mainly of investors and finance officials from 10-member Asean economic sub-region.
"More extensive cooperation and more intensive integration have been beneficial to the economies of this dynamic region. All our economies are driven to a large extent by trade. The Asean Free Trade Area provided us a framework for dramatically increasing intra-regional trade and investments," he added.
This appears to be an indication that the government is relying much on Asean's market potential which has remained untapped. But with the regional bloc being envisioned as a single market and production base under the Asean Economic Community (AEC), this is expected to bring a strong driver of global growth. The 10-member Asean has a market base of more than 600 million and a 300 million-strong labor force that is young, talented and dynamic.
"Our governments are convinced that globalization is the way to progress. Our economies have much headroom for rapid expansion, beginning from a massive infrastructure build-up that will bring our region increased efficiency," Dominguez told participants in the same gathering.
And to make the AEC, the member-countries are promoting e-commerce in the region, pooling resources to develop massive infrastructure needed, facilitating trade and supporting each other’s rising expanding consumer markets.
Asean officials have also developed a Master Plan on Asean Connectivity 2025 and a detailed AEC Blueprint 2025 as they aspire to build a truly dynamic regional economy.
"The regional economy we envision is a truly ambitious undertaking that will require massive investments. But we have momentum and opportunity on our side. The support of the investor community will be indispensable for this undertaking to succeed. We will be happy to discuss with the investor community the detailed plans being considered by the Asean," Domnguez vowed.