APEC Business Advisory Council (ABAC) has submitted a recommendation " Developing partnership and bridgehead for development " to APEC Summit 2013 in Bali (Indonesia) on October 1-8, 2013. Ahead of the event, The Vietnam Business Forum interviewed Hoang Van Dung, Standing Vice President of the Vietnam Chamber of Commerce and Industry (VCCI) and Chairman of ABAC Vietnam.
* What is the recommendation of ABAC to APEC Summit 2013?
In spite of economic improvement this year, ABAC is still concerned over the instability of the world economy in capital flow and unstable financial market in the Asia-Pacific region. Much needs to be done to reactivate Asia-Pacific economy in the world economic growth. ABAC is committed to APEC support in infrastructure and partnership to develop regional integration and believes that APEC should develop a more effective agenda on trade, investment, service and financial markets for comprehensive and stable growth. Therefore, ABAC calls on APEC leaders to grant women more power to develop their talent for the prosperity of everyone.
Big investment by APEC to infrastructure is essential to maintaining growth and ensuring opportunities for Asia-Pacific economies to integrate into regional and world markets. Those economies cannot fill the gap in infrastructure without the participation of the private sector. APEC should have more savings and creative financial agreements. The lack of infrastructure projects and delay in PPP projects are causes of concern for investors. ABAC stands ready to make joint effort in developing a list of infrastructure investments and ensuring Asian-Pacific Investment Partnership (APIP).
To reactivate regional economic growth, it is necessary to increase payment, integration and stability of the financial market. Last year, ABAC proposed the establishment of Asia-Pacific Financial Forum (APFF) as a regional foundation to promote cooperation between related officials and institutions to develop regional financial markets. ABAC calls on APEC economies to approve the establishment of APFF.
APEC economies will get biggest benefit from competitiveness in service with reform in national management and improvement in investment and liberalisation of border trade in service. Small, Medium and Micro Enterprises (SMMEs) will benefit from such those reforms. Inefficient service and high price are impediments to growth and competitiveness in international market. ABAC called for continued efforts to reduce transaction fees and improve demand-supply chain at least 10 percent by 2015.
In face of inclination in FDI, ABAC recommended APEC leaders to ensure that their economies are open to cross-border investments and encourage FDI as driving force for stable growth and employment.
ABAC welcomed APEC strategy and road map on food security aiming at establishing a food structure by 2020. It requires significant public-private cooperation. ABAC calls on APEC leaders to take steps to implement successfully the road map.
Concerning frame agreement on APEC partnership to promote regional integration in the interest of Asia-Pacific businesses and community even after the achievement of Bogor objectives, ABAC wishes to increase cooperation with APEC on main priorities and objectives. Final outcome of regional partnership will be the achievement of a Free Trade Area in Asia-Pacific (FTAAP). ABAC encourages APEC economies to negotiate in line with final goal of achieving FTAAP and APEC cooperation, ensuring participation and interest of businesses.
* As trade liberalisation and investment are main concerns of businesses, what are ABAC recommendations this time?
ABAC believes that WTO continues to be the foundation of global and regional trade. However, to ensure business confidence in WTO, it is important that the 9th WTO ministerial meeting in Bali in December 2013 should agree on solution package on Doha negotiation. ABAC calls on APEC to play its role in promoting Doha solution package and supporting enlarged negotiation on IT agreement in WTO. APEC should find way to global community by promoting trade liberalization and regional investment. ABAC calls for big steps towards FTAAP, including biggest participation possible in FTAAP initiatives.
ABAC also calls on APEC economies to continue their efforts in promoting capacity building to remove hurdles to FDI and application of efficient management to facilitate trade and investment. ABAC continues to assist APEC in local manufacturing of products to promote employment and economic growth, for instance, creating a favourable environment to attract FDI with fair, accountable, transparent and unified regulations and tax rates. To ensure efficient monitoring of Bogor process, ABAC recommended APEC to apply APEC chart of annual or bi-annual basis.
* The development of SMMEs in Asia-Pacific was discussed in previous meetings. What is ABAC recommendation this time?
SMMEs account for over 90 percent of businesses in APEC region. The development of SMMEs is always the high priority of APEC policy. ABAC calls on APEC to adopt a comprehensive approach to promote SMME growth. New financial measures should narrow down the credit gap for SMMEs in the region. According to IFC, at least 45 percent of SMMEs in emerging markets are without and 21 percent SMMEs with inadequate assistance. In global scale, the credit gap is between 1,300 billion USD and 1,600 billion USD. ABAC calls on APEC to broaden credit access of banking and non-banking, venture investment funds, initial " seed " investment funds, capital flow, credit offices and financial regulations such as Basel regulation of risk evaluation.
In addition, ABAC calls for policies to encourage businesses and develop new businesses as well as new-type businesses. APEC economies should promote Internet technology, assisting SMME development and access to world market. Capacity-building initiatives such as APEC Summit on SME are most helpful. ABAC calls on APEC economies to encourage and assist the organisation of such summit.-VNA
* What is the recommendation of ABAC to APEC Summit 2013?
In spite of economic improvement this year, ABAC is still concerned over the instability of the world economy in capital flow and unstable financial market in the Asia-Pacific region. Much needs to be done to reactivate Asia-Pacific economy in the world economic growth. ABAC is committed to APEC support in infrastructure and partnership to develop regional integration and believes that APEC should develop a more effective agenda on trade, investment, service and financial markets for comprehensive and stable growth. Therefore, ABAC calls on APEC leaders to grant women more power to develop their talent for the prosperity of everyone.
Big investment by APEC to infrastructure is essential to maintaining growth and ensuring opportunities for Asia-Pacific economies to integrate into regional and world markets. Those economies cannot fill the gap in infrastructure without the participation of the private sector. APEC should have more savings and creative financial agreements. The lack of infrastructure projects and delay in PPP projects are causes of concern for investors. ABAC stands ready to make joint effort in developing a list of infrastructure investments and ensuring Asian-Pacific Investment Partnership (APIP).
To reactivate regional economic growth, it is necessary to increase payment, integration and stability of the financial market. Last year, ABAC proposed the establishment of Asia-Pacific Financial Forum (APFF) as a regional foundation to promote cooperation between related officials and institutions to develop regional financial markets. ABAC calls on APEC economies to approve the establishment of APFF.
APEC economies will get biggest benefit from competitiveness in service with reform in national management and improvement in investment and liberalisation of border trade in service. Small, Medium and Micro Enterprises (SMMEs) will benefit from such those reforms. Inefficient service and high price are impediments to growth and competitiveness in international market. ABAC called for continued efforts to reduce transaction fees and improve demand-supply chain at least 10 percent by 2015.
In face of inclination in FDI, ABAC recommended APEC leaders to ensure that their economies are open to cross-border investments and encourage FDI as driving force for stable growth and employment.
ABAC welcomed APEC strategy and road map on food security aiming at establishing a food structure by 2020. It requires significant public-private cooperation. ABAC calls on APEC leaders to take steps to implement successfully the road map.
Concerning frame agreement on APEC partnership to promote regional integration in the interest of Asia-Pacific businesses and community even after the achievement of Bogor objectives, ABAC wishes to increase cooperation with APEC on main priorities and objectives. Final outcome of regional partnership will be the achievement of a Free Trade Area in Asia-Pacific (FTAAP). ABAC encourages APEC economies to negotiate in line with final goal of achieving FTAAP and APEC cooperation, ensuring participation and interest of businesses.
* As trade liberalisation and investment are main concerns of businesses, what are ABAC recommendations this time?
ABAC believes that WTO continues to be the foundation of global and regional trade. However, to ensure business confidence in WTO, it is important that the 9th WTO ministerial meeting in Bali in December 2013 should agree on solution package on Doha negotiation. ABAC calls on APEC to play its role in promoting Doha solution package and supporting enlarged negotiation on IT agreement in WTO. APEC should find way to global community by promoting trade liberalization and regional investment. ABAC calls for big steps towards FTAAP, including biggest participation possible in FTAAP initiatives.
ABAC also calls on APEC economies to continue their efforts in promoting capacity building to remove hurdles to FDI and application of efficient management to facilitate trade and investment. ABAC continues to assist APEC in local manufacturing of products to promote employment and economic growth, for instance, creating a favourable environment to attract FDI with fair, accountable, transparent and unified regulations and tax rates. To ensure efficient monitoring of Bogor process, ABAC recommended APEC to apply APEC chart of annual or bi-annual basis.
* The development of SMMEs in Asia-Pacific was discussed in previous meetings. What is ABAC recommendation this time?
SMMEs account for over 90 percent of businesses in APEC region. The development of SMMEs is always the high priority of APEC policy. ABAC calls on APEC to adopt a comprehensive approach to promote SMME growth. New financial measures should narrow down the credit gap for SMMEs in the region. According to IFC, at least 45 percent of SMMEs in emerging markets are without and 21 percent SMMEs with inadequate assistance. In global scale, the credit gap is between 1,300 billion USD and 1,600 billion USD. ABAC calls on APEC to broaden credit access of banking and non-banking, venture investment funds, initial " seed " investment funds, capital flow, credit offices and financial regulations such as Basel regulation of risk evaluation.
In addition, ABAC calls for policies to encourage businesses and develop new businesses as well as new-type businesses. APEC economies should promote Internet technology, assisting SMME development and access to world market. Capacity-building initiatives such as APEC Summit on SME are most helpful. ABAC calls on APEC economies to encourage and assist the organisation of such summit.-VNA
