In response to a question about whether China imposes conditions on its relationships with smaller nations like Thailand and Malaysia, Nazir also agreed with insurance company FWD Group chairman Frederick Ma’s description of such ties as “the norm”.
“I think ‘strings attached’ is the norm now and, looking ahead, I think the Chinese strings are easier to navigate than the American strings,” he said during a panel discussion at the China Conference: Southeast Asia 2025 here today.
Nazir also expressed optimism about the future of economic integration in the region, despite past attempts that did not meet the stated goals.
“I’m quite bullish because Asean has learned the hard way about what it can and should do, and what it can’t and shouldn’t do. We don’t want to be like the European Union.
“In 2007, we aimed for a single production base, free movement of skilled labour, and free movement of capital, but by 2015, we had achieved none of that. Now, we understand that we shouldn’t try to go down that path,” he said.
He said the region needs to be creative in its integration efforts, reiterating the council’s push for the Asean Business Entity (ABE) concept.
Last Saturday, Nazir renewed the call for the ABE framework at an Asean-BAC briefing hosted by the Federation of Malaysian Manufacturers.
The ABE framework will see the introduction of a new category of businesses that can be officially recognised by Asean governments. Companies designated as ABE will receive operational advantages and flexibility unavailable to standard local or global firms.
ABE-certified companies will benefit from greater freedom, such as the ability to move personnel and operations across borders within the Asean region without the typical restrictions.
Foreign minister Mohamad Hasan recently called for the establishment of an Asean stock exchange to strengthen the 10-nation grouping’s economic growth.
In an interview with FMT, he said a regional stock exchange could comprise the top 50 blue chip companies from each Asean country, and they could be given special incentives and tariff treatment.
In addition, he said, it could also raise capital from other regions as investors around the world are attracted to trade on the Asean bourse.
Mohamad said such an initiative could lead to Asean becoming a bloc that is more unified and harmonious, and developed.–FMT
