cover riebs vol 3 2012

cover riebs vol 3 2012

 

 

 

 

 

 

 

 

Author : Siwage Dharma Negara

Abstract :

Connectivity is one of the key factors that are important to accelerate economic integration between ASEAN and India. Improved connectivity is critical to increase ASEAN-India economic relations and to strengthen ASEAN-India’s share in regional and global production networks. To build and strengthen this connectivity, several strategic measures are needed. First, there is a need for a clear regional connectivity framework, a multi-modal, multifunctional and multi-tier approach, which includes land, maritime and air connectivity. Second, there is a need to establish strong regional institutions for cooperation in terms of planning, managing and fonding the infrastructure needs. Third, ASEAN and India need to address wide infrastructure variations within their member countries and states. Specifically, significant resources and time must be dedicated to build and strengthen infrastructure in Myanmar and the northeastern region of India, given their strategic location as the connecting nodes of ASEAN-India connectivity. For infrastructure development, there must be a clear strategy to encourage more private sector participation. Public-private partnership seems not only promising but also challenging given the complexity and cost of infrastructure investment. A fair distribution of risk remains a big constraint to the promotion of public-private partnerships. Fourth, ASEAN-India connectivity should be integrated with regional development plans and linked to the international production network. And finally, there is a need for strong political commitment to execute most of the policies and strategies that have been agreed to by the ASEAN countries and India.

Keywords: Connectivity, Transport, Regional integration, ASEAN, India