MANILA, Philippines—The Philippines is expected to generate huge economic gains—in the form of higher exports and foreign direct investments—when the Association of Southeast Asian Nations becomes fully integrated by 2015.
According to National Economic and Development Authority assistant director general Ruperto Majuca, the country’s exports could grow by as much as 45 percent a year when the Asean Economic Community (AEC) becomes a reality in four years.
The Asean integration could also contribute to gross domestic product growth, as well as to a rise in foreign direct investments (FDIs), he added.
The country last year registered P196.1 billion in FDI. In the first quarter, FDI reached P22 billion.
“Asean integration is a big thing, even considering its impact on trade creation alone. Exports and GDP can go up. Trade in services can also grow by 4.3 percent in utilities and construction and 7.4 percent in transport. Industry clustering can also take place among (micro, small, and medium enterprises),” Majuca said.
Earlier this month, Trade Undersecretary Adrian Cristobal Jr. attended the meeting of the High-Level Task Force on Asean Economic Integration in Jakarta to discuss the status of each Asean member-nation’s preparations for the establishment of the AEC.
Also discussed was the formulation of a regulatory reform work program, which would guide each member-state’s regulatory reform activities.