Laos urged to speed up customs reform ahead of AEC
Laos urged to speed up customs reform ahead of AEC
Laos should accelerate implementation of customs reforms and further increase investments in education and health as part of efforts to strengthen competitiveness ahead of the establishment of the Asean Economic Community in 2015, according to a new study.
The Asian Development Bank (ADB) and the Institute of Southeast Asian Studies unveiled the joint study in Vientiane yesterday, showing that Laos needs to accelerate customs reforms to facilitate the free flow of the goods in the region.
Asean nations plan to establish the Asean Economic Community in 2015, making the region a single market and production base.
Laos began customs reforms a few years ago, aiming to provide a one- stop service so businesses can more easily import and export goods. However, implementation of this commitment is not taking place as expected due to a lack of funds.
The joint study, titled the ‘Asean Economic Community: A work in progress' also shows that Laos needs to further increase investment in education and health so the country can supply skilled and healthy workers to meet the demands of the burgeoning investment climate.
Laos expects more foreign investment in areas where the country is resource rich, such as agri-business. Laos has plenty of fertile land, which can produce crops as raw materials for the food processing industry.
“The areas where Laos needs to speed up implementation include Asean e-customs, National Single Window and Asean Single Window,” a co-editor of the book and lead economist at the bank, Mr Jayant Menon, said as quoted in a press release from the bank.
“They are among important agreements that are critically important for the realisation of the AEC.”
Asean nations are approaching the formation of the AEC in 2015. At the 12th Asean Summit in 2007, the leaders of Asean countries, including Laos, affirmed their commitment to accelerate the establishment of the regional community as envisioned in the Asean Vision 2020, aiming to transform the region into an economic block with a free movement of goods, services, investment skilled labour and a free flow of capital.
In response to the Asean Secretariat's request, the ADB in collaboration with South East Asian Study undertook an analysis of the barriers and impediments in realising the AEC by 2015. The findings and recommendations are captured in the book.
“A key message coming out of this study is that the target date of 2015 should not be viewed as a hard headline but rather a milestone in a much longer journey,” Mr Menon said.
“The publication of this study is timely and relevant for Laos and will enable the government to focus on key issues and meet the challenges ahead. This will enable the country to prosper as a member of the AEC,” said ADB Country Director to Laos, Ms Sandra Nicoll.
vientiane times
