The Asia-Pacific Economic Cooperation forum, as its name implies, is first of all an economic grouping. APEC aims to boost trade among its member economies, encourage investments, create jobs and in the process ease poverty.
It’s good to have a regional grouping pushing for such objectives, especially when the bloc includes the world’s four largest economies. Each country, however, must do its own homework to facilitate trade, improve the environment for job-generating investments and become more globally competitive.
The Asia-Pacific is seen as the world’s most dynamic region. It is home to several of the economies that consistently top international surveys on competitiveness, ease of doing business, transparency and good governance, livable cities, happiness and human development indicators.
Against such neighbors the Philippines still has a lot of catching up to do, despite sustained economic growth for several years. Restrictive economic policies enshrined in the Constitution have dampened investments and prevented the country from joining the Trans-Pacific Partnership, which aims to lower trade barriers among members and promote economic growth.
Apart from restrictions in the basic law of the land, red tape, corruption and inefficiency all the way down to the lowest levels of government make the Philippines one of the most difficult places to do business in the Asia-Pacific. This deters the development of micro, small and medium enterprises. It hinders inclusive growth and efforts to bring down poverty incidence, which at 40 percent of the population is one of the highest in the Pacific Rim.
Economic cooperation within the Asia-Pacific is meant to boost growth. “Building inclusive economies, building a better world” is the theme of this year’s APEC summit. Serving as APEC host should firm up the resolve of Philippine officials to implement the necessary reforms in pursuit of that theme.