EAST ASIA NEEDS NEW ECONOMIC MODEL, SAYS MALAYSIAN PM

HUA HIN, Oct 26 (Bernama) -- East Asia, which is expected to be the world's
economic growth area in the near future, needs a new economic model, said
Malaysian Prime Minister Najib Razak.

He said the region was still not strong enough as a manufacturing hub for
exports to the West.

"It is important to have new growth sources which will create a larger
middle class and higher social income net," he said at the end of the 15th Asean
Summit here.

Najib who arrived here on Friday, departed for Kuala Lumpur from the Hua Hin
Airport Sunday.

He said the vision of the 21st century being the "Asian Century" had become
clearer as East Asia was assisting in the recovery process of the current global
economic situation.

Najib said the 15th Asean Summit and Related Summits had made positive
decisions which became benchmarks in Asean's goal of establishing the Asean
Community by 2015.

He said members of the East Asia Summit, namely China, Japan, South Korea,
Australia, India and New Zealand also wished to see their economy better
integrated with Asean's economy.

On the East Asian Community and Asia-Pacific Community proposed by Japan and
Australia respectively, Najib said no decisions were made by the leaders, but
the proposals would be studied in depth.

"We will not reject anything that will help create prosperity for Asia and
the Asia-Pacific regions," he added.

On the Asean Free Trade Area (AFTA) which would come into force on Jan 1,
2010, Najib said Malaysia was committed to realising this and at the moment, the
tariffs of only 89 products had not been abolished.

On Malaysia's willingness to help resolve the conflict in southern Thailand,
he said he would discuss the matter during the two countries' annual
consultation in Bangkok in December, and his visit with his Thai counterpart
Abhisit Vejjajiva to the restive southern provinces.

"We will give our views and advice, but they may not necessarily be
accepted," he said.

-- BERNAMA