ASEAN Hosting to Lure Trade, Investments; Boost Economic Growth

The Philippines stands to benefit from hosting of Association of Southeast Asian Nations (ASEAN) Summit this year through increased trade and investments in the region and high economic growth in the next few years, said the country’s foremost economist.

In an interview, Dr. Bernardo Villegas, Professor at University of Asia and the Pacific, said Filipino companies are opting of protecting domestic market, while a few of them have led in expanding their businesses towards the ASEAN region.

“I hope that more and more companies will think of integrating their businesses all over the 650 million consumers in the ASEAN,” he said. “We have to get more and more of our business people to think beyond Philippine shores.”

Villegas said the ASEAN meetings here will open up a lot of networking opportunities for businesses in the region.

He stressed that the country’s hosting of ASEAN Summit can also create investment opportunities among member countries.

“A lot more Filipino corporations (have to) leverage their relationship with ASEAN companies so that they can invest here and vice versa. We can open up markets in the ASEAN countries,” he added.

The economist believes its hosting can also pave the way for the Philippines to fully maximize the benefits of the ASEAN Economic Community (AEC), especially country to country agreement on services.

“We can just send our lawyers, our engineers, architects, unless we agree with the respective governments. That is the competitive advantage of the Philippines. Filipino professionals are among the most sought-after in the ASEAN,” Villegas said.

Further, he is also optimistic that the holding of ASEAN meetings in the country will boost the economy.

“Whatever they will spend when they are here, that will definitely increase GDP (gross domestic product). But it will take time before investments come here. It will not be this year but in the next three to five years,” Villegas added.

The government will officially launch the ASEAN 2017 at the Davao SMX Convention Center on January 15.

This year’s ASEAN 2017 carries the theme “Partnering for Change, Engaging the World.” (PNA)JBP/LDV