Indonesia recently concluded its tenure as the Chairman of the ASEAN (Association of Southeast Asian Nations) by hosting the 43rd ASEAN Summit in September 2023. This summit, spanning from the 5th to the 7th, brought together leaders from ASEAN member countries and several other nations and organizations. Here, we provide a breakdown of some of the key aspects and outcomes of this significant event.

Unprecedented Summit Scale

The 43rd ASEAN Summit, under the theme “ASEAN Matters: Epicentrum of Growth,” gathered leaders from ASEAN member countries, including Laos, Cambodia, the Philippines, Singapore, Malaysia, Vietnam, and Brunei. Additionally, East Timor’s Prime Minister Shananana and Thailand’s Foreign Ministry Secretary General Charen Suwan attended as observers on behalf of the new Thai Prime Minister, Saita.

Moreover, leaders from ASEAN’s nine partner countries, including the United States, South Korea, Japan, India, Australia, New Zealand, Canada, Russia, and China, along with two guest countries, Bangladesh and the Cook Islands, participated in the summit. Representatives from international organizations like the United Nations, the World Bank, and the International Monetary Fund also joined the discussions. This gathering was marked as the largest ASEAN Summit in history, according to Indonesian Foreign Minister Retno.

ASEAN’s Stance on Proxy Roles for Major Powers

During the summit’s opening ceremony, Indonesian President Joko Widodo emphasized ASEAN’s united stance against allowing the Southeast Asian region to become a proxy battleground for major world powers. In a time of increasing global competition for influence, President Widodo likened ASEAN to a giant ship and called for unity among ASEAN member states to navigate towards the center of economic growth.

Agenda and Goals of the ASEAN Summit

The 43rd ASEAN Summit had clear objectives centered around promoting and strengthening the realization and foundation of the ASEAN Vision 2045. To achieve this, the summit focused on discussions related to:

• Development and enhancement of ASEAN’s cooperation with external partners.
• The South China Sea Code of Conduct.
• The Southeast Asia Nuclear-Free Zone.
• ASEAN’s maritime outlook.
• ASEAN Indo-Pacific outlook.
• The issue of Myanmar, among other topics.

Additionally, the summit aimed to reach significant agreements on various subjects, including enhancing ASEAN infrastructure, food security, blue and green economies, as well as the digital economy and payment ecosystem.

The Release of ASEAN Harmony Joint Statement and ASEAN Vision 2045

A significant aspect of the 43rd ASEAN Summit was the adoption of the fourth “ASEAN Harmony Joint Statement” and the “ASEAN Vision 2045.” These statements followed the 1976 “Bali Declaration I,” which established a code of conduct among ASEAN member states, and the 2003 “Bali Declaration II,” which led to the creation of the “ASEAN Charter.” In 2011, the “Bali Declaration III” aimed to ensure ASEAN’s active engagement in addressing global issues.

Laos’ Perspective as the 2024 ASEAN Chair

Laos Prime Minister and the 2024 ASEAN Chairperson, Mr. Sonexay Siphandone, discussed the opportunities and challenges facing ASEAN in areas like economic integration, climate change, and sustainable development during his speech at the summit. He also emphasized the need for collective efforts within ASEAN to create a favorable business environment and secure a central position in the regional and global economy.

As the incoming ASEAN Chair, Laos is preparing to host important events, including the 27th ASEAN Tourism Ministers Meeting and the 42nd ASEAN Tourism Forum in January 2024. Additionally, Laos is expected to play a significant role in advancing the adoption of the ASEAN USD stablecoin payment system, contributing to the development of ASEAN’s digital economy.

ASEAN’s Expanding Economic Role

In 2023, the Association of Southeast Asian Nations continued to make substantial strides in the global economic landscape. With a projected economic growth rate of 4.5%, ASEAN outpaced the global average, underscoring its growing significance on the world stage.

Robust Intra-ASEAN Trade and Investments

A notable driver of ASEAN’s economic ascent was its thriving intra-regional trade. Projections estimated that intra-ASEAN trade would soar to an impressive $856 billion. This surge in trade activity reflected the increasing economic interdependence among ASEAN member countries, driven by the removal of trade barriers and the promotion of regional economic integration.

In addition to trade, intra-ASEAN investments also witnessed remarkable growth. These investments were anticipated to approach nearly $27 billion, signifying the attractiveness of ASEAN as a destination for both domestic and foreign investors. The region’s burgeoning middle class, abundant natural resources, and improving infrastructure contributed to this investment allure.

Towards Becoming the World’s Fourth-Largest Economy by 2030

ASEAN’s cumulative Gross Domestic Product (GDP) stood at approximately $3.7 trillion, making it a substantial economic force. Furthermore, the region has a population of over 670 million people, representing a dynamic consumer market.

With this momentum, ASEAN is on a trajectory to ascend to the ranks of one of the world’s largest economies. Projections indicated that by 2030, ASEAN could secure its place as the fourth-largest economy globally, a remarkable achievement that underscored the region’s economic prowess and potential.

As ASEAN continues to foster economic cooperation, improve infrastructure, and attract investments, its role in the global economy is set to become even more prominent. This growth holds the promise of increased prosperity for the region and contributes significantly to the interconnectedness of the global economic landscape.

Challenges and Future Development Directions for ASEAN

The situation in Myanmar remained a significant concern for ASEAN, and discussions during the 43rd ASEAN Summit reflected the organization’s determination to address this issue. ASEAN leaders also discussed the region’s greater involvement in guiding discussions on future issues and narrowing differences with major powers.

According to ASEAN Secretary-General Dato Lim Jock Hoi, these meetings provided a platform for ASEAN and its dialogue partners to collectively seek solutions to the difficulties and challenges facing the region and the world.

Summary

The 43rd ASEAN Summit marked a historic event with extensive participation from leaders, observers, and representatives from various nations and organizations. The summit addressed critical issues and aimed to enhance regional cooperation and collaboration. Indonesia’s hosting of the event set a reference for Laos, the next ASEAN Chair, which is expected to contribute significantly to advancing the ASEAN digital economy and maintaining regional peace and stability in the coming year.