Thursday, December 17, 2020

ASEAN Response to Economic Recovery

Excerpt:

"COVID–19 has been disrupting economic activities around the world, and Southeast Asia is no exception. The effects of this pandemic are unequal. The region’s 2020 GDP is estimated to shrink by 4.2% overall, but the services sector — tourism especially — has been hit harder than the manufacturing sector. Small- and medium-sized enterprises (SMEs) have been suffering more than large firms. As a result, the Association of Southeast Asian Nations (ASEAN) introduced several initiatives meant to manage the crisis and ensure post-COVID recovery. While this is laudable, to more effectively facilitate economic recovery, ASEAN should operationalize an ASEAN small- and medium-sized enterprise recovery facility, opening special financing tools to such firms. It should also set up rules that ensure international flows of people, as well as address trade protectionism, which could hinder ASEAN’s recovery effort."











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