BANGKOK—Asean leaders and China have formally acknowledged the need to improve connectivity between Asean and China by synergizing common priorities in the Master Plan on Asean Connectivity (MPAC) 2025 and the Belt and Road Initiative.
Asean and China also welcomed the launch of Initial Rolling Priority Pipeline of Asean Infrastructure Projects under MPAC 2025—a move seen to assist member-states in selecting “bankable infrastructure projects that have the highest potential, to attract investment from Dialogue Partners and financial institutions.
On Saturday, Asean Secretary-General Dato Lim Jock Hoi announced the list of projects upon the conclusion of the 24th Asean Coordinating Council during the 35th Asean Summit and Related Summits.
World Bank was assigned to implement the key initiative. Together with Australia, they assisted in the streamlining of proposed infrastructure projects from all Asean member-states with the highest potential to make up the list of projects in the priority pipeline, which will contribute to the region’s economic growth and beyond.
A total of 19 projects were selected in the initial pipeline, which can be modified as “appropriate.” Broken down per sector, there were 11 road projects, three power projects, two port, one information and communication technology, one railway and one airport.
Out of the 19, five were in Myanmar, four for Lao PDR, three each for Indonesia and Thailand, two for Vietnam, one for Cambodia and one for Brunei Darussalam.
In a joint statement, Asean also encouraged China to actively support the development and financing of Asean infrastructure projects and promote connectivity cooperation in areas, such as railways, highways, port and harbors, airports, power and communication, for building better business and investment environment.
The parties also committed to promote innovative infrastructure financing in Asean though the mobilization of private capital. This entails encouraging financial institutions, including the Asian Infrastructure Investment Bank, Asian Development Bank and the World Bank Group, and tapping funds, such as the Silk Road Fund to better mobilize private capital and enhance capacity building to support infrastructure development in the region.
Bilateral trade and investment are expected to be enhanced through the implementation of the Protocol to Amend the Framework Agreement on Comprehensive Economic Cooperation and Certain Agreements between Asean and China to further explore other areas of cooperation, including on production capacity.
The parties also reaffirmed their strong commitment to conclude the Regional Comprehensive Economic Partnership negotiations by 2019 and leverage opportunities brought by the Fourth Industrial Revolution.
People-to-people connectivity will improve by supporting cooperation in areas like education, youth, tourism, human resource and technical cooperation, media, think tanks and local governments, including building the Asean-China Young Leaders Scholarship as a flagship project as well as cooperation on improving people’s livelihood.
In a bid to narrow the development gap in the region, the parties vowed to support Connecting the Connectivities Initiative and continued strengthening of connectivity cooperation under existing subregional cooperation mechanisms, such as Lancang-Mekong Cooperation, the Greater Mekong Sub-region, and the Asean-Mekong Basin Development Cooperation, the Ayeyawady-Chao Phraya-Mekong Economic Cooperation Strategy and the Brunei Darussalam-Indonesia-Malaysia-Philippines East Asian Growth Area (BIMP-EAGA) and implement cooperation through relevant bilateral and multilateral platforms.
The development comes even though China’s Belt and Road Initiative has been criticized as a means to spread Chinese influence abroad.