Master Plan on ASEAN Connectivity 2025: A Blueprint for a Stronger ASEAN
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1 Master Plan on ASEAN Connectivity 2025: A Blueprint for a Stronger ASEAN AMBASSADOR ELIZABETH P. BUENSUCESO, CHAIR, ASEAN CONNECTIVITY COORDINATING COMMITTEE (ACCC), AND COMMITTEE OF PERMANENT REPRESENTATIVES (CPR) 5 th ASEAN Connectivity Forum 29 November 2017, Seoul, Republic of Korea
2 OUTLINE 1. PARTNERING FOR CHANGE ENGAGING THE WORLD 2. ASEAN-KOREA RELATIONS 3. MPAC 2025: A BLUEPRINT FOR A CONNECTED ASEAN 4. THREE DIMENSIONS, 5 KEY AREAS, 15 INITIATIVES 5. MANAGEMENT, IMPLEMENTATION ARRANGEMENTS AND SPECIAL BODIES 6. KOREA AND MPAC 2025
3 Philippine Chairmanship Theme: PARTNERING FOR CHANGE; ENGAGING THE WORLD
4 ASEAN Asia s Economic Powerhouse A huge market: 629 million+ people 3 rd largest in the world (behind China & India) GDP: USD 2.55 trillion 6 th largest in the world; 3 rd largest in Asia FDI: USD 120 billion+
5 STATUS OF ASEAN-KOREA RELATIONS ASEAN and the Republic of Korea (ROK) initiated sectoral dialogue relations in November The ROK was accorded a full Dialogue Partner status by ASEAN at the 24th ASEAN Ministerial Meeting (AMM) in July 1991 in Kuala Lumpur. Since the ASEAN-ROK partnership was elevated to a summit level in 1997 in Kuala Lumpur, relations between ASEAN and the ROK have broadened and deepened. ASEAN-ROK two-way trade: US$122.9 billion (2015) (ROK as the 5th largest trading partner of ASEAN) ROK's FDI to ASEAN: USD 5.7 billion (in 2015) (5th largest investment partner of ASEAN) Korean tourists to ASEAN: 5.02 million (2014); ASEAN tourists to ROK: 1.79 million (2014) ASEAN-ROK Connectivity: Construction of two missing links on the Singapore-Kunming Rail Link, regional inland waterways, and ASEAN- ROK air services agreement, among others
6 The Master Plan on ASEAN Connectivity (MPAC) 2025: A Blueprint for a Connected ASEAN The Master Plan on ASEAN Connectivity (MPAC) 2025 was adopted by ASEAN Leaders at the 28th ASEAN Summit in Vientiane, Lao PDR on 6 September MPAC 2025 is an integral part of ASEAN Community Vision 2025 and continues to emphasise the importance of physical (e.g., transport, ICT, and energy), institutional (e.g., trade, investment, and services liberalisation), and people-to-people connectivity (e.g., education, culture, and tourism).
7 MPAC 2025 has 5 Strategic Areas and 15 Initiatives Vision: To achieve a seamlessly and comprehensively connected and integrated ASEAN that will promote competitiveness, inclusiveness, and a greater sense of Community. STRATEGIC AREA Sustainable infrastructure Digital innovation Seamless logistics Regulatory excellence People mobility
8 A Sustainable Infrastructure The MPAC 2025 is more focused and action-oriented Initiatives Establishment of infrastructure pipeline Framework and strategies on infrastructure productivity Development of sustainable urbanisation strategies Intended Outcomes in 2025 Increase public and private infrastructure investment across the ASEAN Member States Enhance infrastructure productivity in ASEAN through better delivery Increase the deployment of smart urbanisation models across ASEAN B Digital Innovation C Seamless Logistics Enhance MSMEs adoption of digital technologies Expansion of digital financial services Establishment of open data network Development of digital data governance framework Development of logistics database Enhance supply chain efficiencies by addressing chokepoints Increase the adoption of technology by MSMEs Support access to financial services through digital technologies Enhance the impact of open data across ASEAN Improve data-management practices and more cross border data across ASEAN Member States Lower supply-chain costs in each ASEAN Member State Improve competitiveness of ASEAN Member State D Regulatory Excellence E People Mobility Harmonise or mutually recognise product, conformance, and technical standards in key sectors Enhance transparency and streamline non-tariff measures Enhance tourism digital platform Development of e-visa Establish new vocational training programmes and common qualifications, in accordance with national circumstances of ASEAN Member States Support higher education across ASEAN Member States Lower the cost of doing business in ASEAN Attract more investment into ASEAN Support ease of travel throughout ASEAN Increase intra-asean mobility of university students Reduce the gaps between vocational skills demand and supply across ASEAN 7 7
9 Management, Implementation Arrangements and Special Bodies External Dialogue Partners and other external partners International organisations and multilaterals Sub-regional Arrangements Private sector and other stakeholders ASEAN Connectivity Coordinating Committee (ACCC) ASEAN Sectoral Bodies (Lead Implementing Bodies and Other Implementing Bodies) ASEAN Secretariat Regional level Review progress Revise implementation plan (if needed) Support outreach efforts 2 ACCC co-facilitators for each strategy Engage with Dialogue Partners and other external parties Implement or coordinate the implementation of the specific initiatives and key implementing measures under their respective purview Support the ACCC Track progress Engage with external parties National level National Focal Points Support, monitor and drive implementation of the respective initiatives at national level National Coordinators Monitor national-level progress National-level implementing agencies
10 The ASEAN Connectivity Coordinating Committee (ACCC) Is comprised of the Permanent Representatives to ASEAN in Jakarta, or any other special representatives appointed by ASEAN Member States serves to coordinate with the NCs, NFPs, CPR, and relevant ASEAN Sectoral Bodies and sub-regional arrangements to implement MPAC Per their TOR, the Roles and Functions of the ACCC are Monitor, evaluate and review the implementation of MPAC 2025; Two ACCC co-facilitators for each of the five strategic areas in MPAC 2025 Take an interim lead role in coordinating the strategic area of sustainable infrastructure until an appropriate LIB has been established Coordinate with the NCs, NFPs, LIBs, relevant ASEAN Sectoral Bodies and subregional arrangements to ensure the implementation of MPAC 2025; Identify issues and challenges, and make appropriate recommendations to the ASEAN Summit through the ASEAN Coordinating Council; Coordinate and consult with ASEAN Dialogue Partners, external parties and other relevant stakeholders to mobilize all possible sources of funding; Explore strategies to strengthen connectivity between ASEAN and other regions. Undertake other tasks as instructed by the ACC
11 3 rd Meeting Between the ASEAN Connectivity Coordinating Committee (ACCC) and Republic of Korea s Task Force on ASEAN Connectivity Held on 25 July 2017 in Jakarta, Indonesia, back-to-back with the 2/2017 ACCC Meeting. The Meeting discussed the great potential and opportunities for ASEAN-ROK Connectivity and project ideas harvested from the MPAC 2025 Forum, to find out where ROK could take an important part in supporting the implementation of specific project ideas.
12 KOREA AND MPAC 2025:
13 Initiative 14: Study of Vocational Skills Gaps and TVET Standards and Programmes in ASEAN Region This project aims to conduct a study to assess the vocational skills gap across ASEAN Member States; take stock and examine the vocational standards and Technical and Vocational Education and Training (TVET) programmes that have been or are currently being developed by ASEAN Member States and identify priority sectors for further development in training and qualification framework.
14 First Project of Initiative 14: Study of Vocational Skills Gaps and TVET Standards and Programmes Study of Vocational Skills Gap Assessment of Existing Works Identification of Priority Sectors Steps I II III Project concept developed and consultation taking place collate existing studies/surveys undertaken by the relevant government agencies in ASEAN Member States as well as by the international organisations to benchmark and gain insights on the vocational skills gap determine types of information to be collected to complement the information gathered from the existing studies assess previous works and initiatives on the ASEAN Qualification Reference Framework (AQRF) and the ASEAN Mutual Recognition Arrangements (MRAs) examine good practices and lesson learnt from vocational standards and TVET programmes outside the region examine the vocational standards, training system, skills testing and certification which have been or are being developed in ASEAN Member States produce a compilation of good practices and lesson learnt from TVET programmes and qualification framework in ASEAN identify 3 priority sectors for TVET development based on the study 13
15 Initiative 1: Establishment of a Rolling Priority Infrastructure Pipeline To increase public and private (domestic and international) infrastructure investment in each ASEAN Member State, as needed. A minimum aspiration could be for private sector infrastructure spending to surpass pre-asia Financial Crisis levels (Exhibit 4). This initiative aims to do this by addressing both the information issues and the capability gaps associated with developing a strong infrastructure pipeline in ASEAN Member States. To avoid duplicative efforts, the initiative would seek to tap on existing efforts of its external partners as far as possible in order to optimise collective resources.
16 First Project of Initiative 1: Establishment of a Rolling Priority Infrastructure Pipeline Steps Project with World Bank to commence in October 2017 (support from AADCP II) Prioritisation of Infrastructure Projects I develop clear criteria for inclusion in the rolling priority pipeline develop a standardised template support the ASEAN Member States in submitting projects Analysis of Funding or Financing Sources Pre-Feasibility Assessment II III assess funding and financing options for each of the infrastructure projects indicate which projects are most likely to be privately financed with little government risk, which ones are more likely to be privately financed with some government risk (such as providing a guarantee or availability payment), and which ones are likely to require all or significant amounts of public funding. assess the readiness of projects to be implemented or to be presented to potential investors or to assess the necessity to undertake further full feasibility studies. 15
17 Initiative 4: Review of MSMEs Participation in Digital Economy Aims to support the plan of the ASEAN Coordinating Committee on MSMEs to promote digital adoption by MSMEs, particularly action lines supporting the development of enhanced understanding of relevant productivity measures; the promotion of technology and building of capabilities to foster industry clustering; and the increase information on regional and global market access and opportunities. To avoid duplicative efforts, the initiative would seek to tap on existing efforts of its external partners as far as possible in order to optimise collective resources.
18 First Project of Initiative 4: Review of MSMEs Participation in Digital Economy Steps Project concept and terms of reference for consultancy developed (support from ACTI) Stocktaking Exercise I collate existing surveys undertaken by the MSME agencies of ASEAN Member States and by international organisations to gain insights on the digital economy in the region produce a compilation of good practices and lesson learnt from ASEAN Member States on actions/approaches taken to enhance MSMEs participation in digital economy Survey of MSMEs Participation II determine types of information to be collected to complement the information gathered from the existing surveys conduct a survey of current MSMEs participation in digital economy and their challenges, to complement the information gathered from the existing surveys 17
19 Initiative 8: Development of ASEAN Database on Logistics / Trade Routes Aims to undertake a stock-take and scoping study to identify and prioritise key trade routes, including land based, maritime or air routes, as well as key commodities along the prioritised routes, and develop an ASEAN database on trade routes.
20 First Project of Initiative 8: Development of ASEAN Database on Logistics / Trade Routes Project concept developed Steps Scan Regional and National Plans; Review Studies Prioritise Trade Routes / Economic Corridors and Key Commodities Data Collection I II III review studies, scan regional and national plans on existing trade routes / economic corridors develop criteria to prioritise key trade lanes / economic corridors and commodities for each of these routes develop methodology and identify partners for collection of data and analysis prepare the set of information and statistics needed for analysis of each of the trade routes or economic corridors prioritised towards the development of the ASEAN Database on Logistics / Trade Routes information on key trade routes / economic corridors in terms of time and cost should regularly updated include an analysis of the value add and cost and benefits of other existing indicators such as World Bank Ease of Doing Business including Logistics Performance Index 19
21 THANK YOU MARAMING SALAMAT 감사합니다
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