ASEAN MINISTERS FORMALLY ADOPTS 1998 ANNUAL REPORT

Singapore, July 24, 1999 - The 10 ASEAN Ministers attending this year's Foreign Ministers Meeting in Singapore jointly announced the approval of this year's annual report.

One of the highlights of the report was the admission of Cambodia as the 10th partner of the Association. The full membership of Cambodia marks the culmination of ASEAN's effort to achieve regional cohesion.

The report also mentioned the return to economic recovery with the presence of several positive indicators. Among these included the return of stability in the foreign exchange markets; rising current account surpluses and a build-up of reserves and the substantial decline in domestic interest rate.

The ASEAN has also intensified its finance cooperation by initiating a process of monitoring short-term capital and macroeconomic indicators through the ASEAN Surveillance Process supported by the ASEAN Select Committee and the ASEAN Surveillance Coordinating Unit at the ASEAN Secretariat.

To restore the region's long-term economic competitiveness, ASEAN has continued to promote direct investment through the ASEAN Free Trade Area (AFTA), the ASEAN Investment Area (AIA), the ASEAN Industrial Cooperation (AICO).

Amidst all these, the ASEAN has implemented measures to mitigate the social impact of the economic and financial crisis. ASEAN has started to implement the Plan of Action on Social Safety Nets and the Plan of Action on Rural Development and Poverty Alleviation.

On the promotion of ASEAN'S technological competitiveness, the report mentioned that ASEAN has established the Science and Technology Information Network which provides up-to-date information on S&T manpower, research and development, technology offers and requests, and technology-specific databases relevant to the R&D requirements of the private sector.

ASEAN has continued to implement the Regional Haze Action Plan with its three components including preventive measures; monitoring measures; and strengthening fire-fighting capabilities. The protection of the environment remains an important priority for the region.

In restoring confidence in the long-term prospects of the region, the report disclosed that ASEAN will pursue various programs aimed at promoting public awareness of ASEAN programs and issues; the ASEAN region as an investment and trade area and the implementation of the ASEAN Satellite Channel and mass media networking and linkages.

In the Association's external relations, ASEAN has stepped up cooperation with its major economic partners to complement the Member Countries' efforts in managing the economic and financial crisis. The report noted the institutionalization of the ASEAN+3 and the ASEAN+1 summits between the ASEAN Heads of State and Government and their counterparts from China, Japan and the Republic of Korea.

The report also mentioned the enhancement of ASEAN's relations with its Full Dialogue Partners and Sectoral Dialogue Partner through regular exchange of views on areas of mutual interest and through joint cooperative activities.

full text of the Executive Summary which was approved by all the ASEAN Ministers.