KUALA LUMPUR: ASEAN is collectively navigating one of the most complex periods in recent history, from trade tariff and geopolitical tensions to climate challenges, as well as the tremendous pace of technological advancements and economic agility in respective economies.
Bank Negara Malaysia governor Datuk Seri Abdul Rasheed Ghaffour said the grouping is doing so against the backdrop of a rules-based international order that is increasingly under challenge.
Speaking at the gala dinner in conjunction with Malaysia’s ASEAN chairmanship of the Finance Track here, he said economic interdependence and interconnectedness, once the cornerstone and gold standards of international economics and prosperity, are now paradoxically a source of strategic vulnerability.
“As nations turn more inwards and adopt more nationalistic posture, a small and open economy like many in ASEAN, which are deeply integrated into the global economy, are especially exposed.
“There is no scenario in which one of us can come out unscathed. This is all a matter of who amongst us will get impacted and who can avoid it,” he said.
Also present at the gala is Finance Minister II Datuk Seri Amir Hamzah Azizan.
Earlier this week, Abdul Rasheed said the bloc had witnessed how quickly and swiftly the external policy of decisions, tariffs, and deliberate cross-trade is now the message of despair, which calls for resolve because, amidst this uncertainty, ASEAN member states have an advantage of “each other”.
“The enduring partnerships and collective efforts we cultivated over the years have forged a united and resilient region, ready to rise to any challenge,” he said.
Abdul Rasheed stressed that structural reforms, deepening of intra-regional trade and investment and strengthened financial sector cooperation over the years have given the region a strong footing to withstand these external shocks.
“We may not be able to control the external environment, but we can shape our collective response to it.
“It is my wish that by the end of our engagements tomorrow, we will each return home with fresh insights, ideas and renewed conviction to do what is needed not just for our economies but for the region as a whole,” said the central bank governor.
The gala dinner was part of the 12th ASEAN Finance Ministers’ and Central Bank Governors’ Meeting (AFMGM) and related meetings, which started on Monday.
