ASEAN warns populism, protectionism may hinder growth

LAPU-LAPU, CEBU – While the Association of Southeast Nations (ASEAN) is expected to grow by as much as 4.8 percent this year, Deputy Secretary-General Lim Hong Hin on Thursday flagged serious risks to economic expansion such as populism and protectionism.

“Such an overall growth projection must be viewed against the backdrop of uncertain times, with the rise of populism and protectionism sentiment posing a challenge,” Brunei Darussalam’s Hin said during the opening of the 12th ASEAN Finance Ministers’ Investor Seminar (AFMIS) in Cebu.

The ASEAN region is projected to grow by 4.8 percent this year, compared with projected average growth of 3.4 percent for advanced economies.

Increasing interest in protectionist policies could be a double-edged sword over emerging and developing economies in Asia, Bangko Sentral ng Pilipinas (BSP) Governor Amando M. Tetangco, Jr. said earlier this week.

"By looking more inwardly, one may ask: Is Asia limiting its growth potential or is it shielding itself from the adverse effects?" he said on Monday.

In neutralizing the situation, Hin said "ASEAN will remain focused, committed to expedite, deepen and broaden regional integration to cushion the impact of this uncertainty.”

There may be short-term uncertainties, but the long-term outlook remains favorable, Hin noted.
“The longer term outlook remains robust and positive. The younger generation will learn to grow and live in the ASEAN century and there’s no turning back,” he said. — VDS, GMA News