ABAC proposals on global credit contraction

ABAC proposals on global credit contraction

By Azlan Othman and Sonia K

http://www.brunei-online.com/bb/tue/11pic9.jpg
Minister of Foreign Affairs and Trade II (L) receiving the ABAC report from Salleh Bostaman Zainal Abidin, Fauziah Dato Talip and Stephen Ong from ABAC Brunei.

With the Asia Pacific Economic Cooperation (APEC) 2008 in Peru drawing closer in November, the APEC Business Advisory Council (ABAC) yesterday presented their report to the leaders at the Ministry of Foreign Affairs and Trade.

On hand to receive the report on behalf of His Majesty the Sultan and Yang Di-Pertuan of Brunei Darussalam's Government was the Minister of Foreign Affairs and Trade II, Pehin Orang Kaya Pekerma Dewa Dato Seri Setia Lim Jock Seng.

Presenting the report were Salleh Bostaman Zainal Abidin, Fauziah Dato Talip and Stephen Ong who were representing the Chairman of the APEC Business Advisory Council (ABAC), a group comprising some of the most successful and widely recognised names in private business in the Asia Pacific region.

This year's ABAC report addresses issues such as global credit contraction, Acceleration of Regional Economic Integration (REI), Small and Medium Enterprises (SME) and Micro-Enterprise Development, response to food supply and prices and mitigation climate change.

ABAC revealed these specific set of recommendations to address the issues:

The global credit contraction, sparked by the sub-prime mortgage crisis and write-downs by various international banks: Regulation should be activity-based and achieved through informal collaboration among regulatory bodies, within and across APEC Economies;

Acceleration of Regional Economic Integration (REI): APEC Ministers should accelerate work on the Free Trade Area for the Asia Pacific by completing REI studies and exploring all options to achieve the free flow of goods, services, labour and capital within the region;

Small and Medium (SME) and Micro-Enterprise Development: Governments should establish various forms of social and financial support in the development and Information Communication Technology (ICT); introduce intellectual property protection programmes and encourage the use of evolving new technologies;

Response to food supply and prices: APEC should renounce the use of embargoes and other export restrictions as a means of addressing perceived food shortages;

Mitigation of climate change: In order to more aggressively pursue energy efficiency to reduce greenhouse gas emissions, each APEC economy should formulate specific goals and action plans. A peer review mechanism should be established to monitor progress.

Because APEC goals are economic in nature, input from ABAC is a critical consideration of APEC policy-makers.

These and other recommendations will be formally issued to APEC Economic Leaders summit to be held in Lima, Peru.