AEC facing external shocks, says Nazir Razak

KUALA LUMPUR: Daunting challenges await the implementation of the Asean Economic Community (AEC) in the form of distraction from external shocks, CIMB group chairman Datuk Seri Nazir Razak said.
He said as the Asean member states were being distracted by external shocks, they had less time focusing on AEC affairs.
They need to focus on the AEC as in the long-term, the Asean economic integration would help strengthen the stability and entire economy across the region, he added.
"So, it's a shame if we don't continue on this path and at the right pace," he told reporters on the sidelines the Southeast Asia Summit 2015 organised by The Economist here today.
Nazir said apart from external shocks, some member states, including Malaysia were also distracted by Trans-Pacific Partnership (TPP) agreement negotiation.
"I would rather MITI (Ministry of International Trade and Industry) spend all that time to conclude everything regarding the AEC than being distracted by the TPP," he said.
Scheduled to be implemented by year-end, the AEC is an ambitious plan to create a single economic entity comprising Asean nations to facilitate the freer flow of goods, services, investments, capital and skilled labour.
It also aimed at promoting equitable economic development and reducing poverty and socio-economic disparities among Asean member states.
Meanwhile, Minister in Prime Minister's Department Datuk Seri Abdul Wahid Omar said the AEC would benefit both multinationals and small and medium enterprises.
"Gradually, we will get the private sector to come in and play their role in the Asean initiatives," he said.
To date, he said Asean has achieved more than 90% compliance with the economic integration and on track to realise the creation of the AEC by year-end. – Bernama