Representatives at the ongoing Boao Forum for Asia agreed Friday that Asian economies can stand taller when working together rather than confronting global economic ups and downs alone.
However, they urged Asian countries and regions take immediate action on regionalization instead of just talking about it.
"We need to exchange views,'' said R S Lodha, president of the Federation of Indian Chamber of Commerce and Industry.
Yung Chul-park, a South Korean professor at the Department of Economics with the College of Political Science and Economics said: "Trade liberalization is of the utmost importance to speed up regional co-operation.''
Although there are many regional alliances in Asia, they are restricted to certain areas instead of the whole of Asia, such as the Asia Pacific Economic Cooperation, and the Association of Southeast Asian Nations (ASEAN), and, therefore, the region is facing a problem on how best to promote unity.
Instead of moving towards greater unity, the region is fractured with individual countries pursuing bilateral deals and putting Asia-wide agreements on the back burner.
In addition, the region's financial systems are distinguishable from each other. This is seen as a major problem.
Given their differences, analysts claim efforts for a regional economic bloc will be slow.
For example, ASEAN has grand plans for free trade -- its ASEAN Free Trade Area (AFTA) agreement envisages slashing import tariffs across the region in the next few years.
"Asian countries should link their development strategies to the overall development strategies of Asia,'' said Paul Dominguez, presidential adviser for Regional Development in the Republic of the Philippines.
He believes governmental support is of vital importance, and will serve as the catalyst for regional co-operation.
"In addition, the private sector will be a major driving force for the regional co-operation,'' said Phisit Pakkasem, former secretary-general of the National Economy and Social Development Board of Thailand.
As for the set-up of a regional common currency in Asia in the years to come, Haruhiko Kuroda, Japan's vice-minister of finance, said it is unlikely to reach such a currency in the foreseeable future. "Asia is less likely to have such a currency compared to the euro in European countries,'' he said.
However, Professor Yung said, under the conditions of trade liberalization and stable Asian currencies, the single currency in Asia could be formed in two to three decades.
He also urged the Japanese and Chinese governments to take the lead in regional co-operation.
(China Daily April 13, 2002)
