The Australian government has unveiled its Southeast Asia Economic Strategy to 2040, which includes four key recommendations to strengthen partnerships with the region and tap into its potential as an economic powerhouse. Special Envoy for Southeast Asia, Nicholas Moore AO, led the development of the strategy and presented his extensive report, titled “Invested: Australia’s Southeast Asia Economic Strategy 2040”, outlining the steps to enhance business opportunities between Australia and Southeast Asia.
The first recommendation focuses on raising awareness of Australia’s commercial, administrative, educational, and social environments among Southeast Asians. Initiatives include establishing business facilitation programs, collaborating with ASEAN industries, and investing in educational advancement and tourism.
The second recommendation aims to remove blockages by exploring continuous investment opportunities, harmonizing commercial standards, improving the visa system for mobility, and prioritizing updates on ASEAN partnership agreements.
Building capacity is the third recommendation, which involves establishing government-to-government partnership programs, enhancing regulatory frameworks for training and workshops, hosting professional exchanges and internships, and promoting trade accessibility.
The final recommendation is to deepen investment by funding government facilities, creating blended investment teams, extending infrastructure partnerships, funding research proposals, and supporting Australian tech companies.
During extensive consultations in Southeast Asia, Moore received 200 submissions, with 75 recommendations being considered by the Australian government. To maximize trade and investment potential, the government will prioritize ten sectors in each ASEAN country. These sectors include agriculture and food, resources, green energy transition, infrastructure, education and skills, visitor economy, healthcare, digital economy, professional and financial services, and creative industries.
A specific report will be released on Wednesday highlighting the top priority sectors in the Philippines for Australian investors. According to Deputy Head of Mission to the Philippines, Dr. Moya Collett, there is significant potential for more partnerships in agriculture and resources in the Philippines. She also emphasized Australia’s focus on the green energy transition and its desire to export clean energy to the world.
Southeast Asia has a projected compounded average growth rate of four percent, with the Philippines expected to have a six percent annual growth rate over the next five years, according to the Australian government’s analysis. Currently, over 14 percent of Australia’s trade is conducted with ASEAN countries, with energy, agricultural goods, minerals, and educational services being the top sectors.
Overall, the Australian government’s Southeast Asia Economic Strategy 2040 aims to foster strong partnerships and tap into the economic potential of the region through targeted initiatives, sector prioritization, and collaborative efforts.
