ASEAN CONNECTIVITY MASTERPLAN EXPEDITES MOVE TOWARDS AEC, SAYS PM

KUALA LUMPUR, Nov 30 (Bernama) -- The leaders' adoption of the Masterplan on
Asean Connectivity will expedite the move towards the Asean Economic Community
(AEC) by 2015, Prime Minister Najib Razak said Tuesday.

He said this connectivity plan, designed with international expertise, would
improve infrastructure linkages, reduce regulatory barriers to movement of goods
and improve ease of travel.

"This will enhance regional trade and investment and foster competitive growth
within Asean and with Asean's neighbours like India, China, Japan and South
Korea," he said in a keynote address at the Seventh Asean Finance Ministers'
Investor Seminar here.

To increase regional capital market connectivity, an electronic trading link
known as the Asean Common Exchange Gateway has been set up, which will enhance
the groupings' ability to trade across markets.

Najib, who is Finance Minister, said the Asean Infrastructure Fund, which aims
to support infrastructure projects in the region, currently stood about US$335
million, of which US$150 million each from Malaysia and the Asian Development
Bank.

The prime minister said it would now remain for the private sector to take
advantage of these improved regimes implemented by the capital market
regulators.

"Private sector investors can now develop more products that will have regional
appeal, conduct more cross border offerings and explore mutual opportunities to
conduct greater cross-border business," he said.

Najib said Asean was also implementing a range of measures to build an
integrated capital market and to create an Asean asset class for investors,
while at the same time fostering its position as a modern and responsible
resource for the global community.

"At this juncture of the business cycle, we fully understand that Asean's
strength, and Asean as a place of choice for investments, is enhanced as Asean
responsibly takes the right actions to support global growth and investment," he
said.

In turn, Asean looked forward to equally responsible actions by domestic,
regional and international investors as they share in the economic benefits
Asean has to offer, said Najib.

The prime minister also pointed out the need to develop a private pension fund
industry and enable workers to plan and manage their wealth for retirement
especially with the Asean demographic remain skewed towards a younger
population.

He said by exercising "a common but differentiated responsibility", Asean was
becoming a region of choice for investors seeking socially responsible
investments.