APEC Business Leaders Call for Bold Actions on Sustainable Growth and Economic Integration

Read the original article on the ABAC website here.

Lima, 12 November 2024 — With challenges becoming increasingly borderless, business leaders from across the Asia-Pacific region are calling on APEC Leaders to take decisive actions to boost sustainable and inclusive growth. The call comes as APEC Business Advisory Council (ABAC) members prepare to meet with APEC Leaders later this week in their annual dialogue. 

“While the global economy remains resilient, APEC economies are grappling with persistent inflation, economic disparities, high interest rates, and the urgent need to increase investments for a green, climate-resilient future,” said ABAC Chair Julia Torreblanca.

“Our recommendations are designed to help APEC respond rapidly to these challenges, creating opportunities for people and businesses across the region. We want to enable equitable access to economic benefits, support businesses with robust trade foundations, and ensure sustainable and resilient growth,” Torreblanca said. 

ABAC urges APEC to prioritize the needs of micro, small, and medium-sized enterprises (MSMEs),particularly those led by women and Indigenous entrepreneurs. The Council recommends policies to promote digitalization and provide equitable access to financing, including venture capital for women entrepreneurs. ABAC views digital tools as key to integrating more businesses into protections and opportunities afforded by the formal economy and connecting MSMEs to global value chains, fostering better opportunities for citizens.

With digital transformation increasingly impacting daily life, ABAC issued a stand alone statement highlighting five emerging trends for the digital economy. ABAC calls upon APEC Ministers responsible for digital innovation to commit to these priorities, act with urgency, and collaborate closely with ABAC in 2025 to address these developments to build a resilient digital economy that benefits all.

“The actions we take today will shape the digital economy of tomorrow. Let us seize this moment to lead with bold, decisive measures that will secure a sustainable, inclusive, and prosperous digital future for all APEC economies”, Torreblanca added. 

This year, ABAC also issued stand-alone statements supporting the Free Trade Area of the Asia-Pacific (FTAAP) and the World Trade Organization (WTO), underscoring the importance of global and regional frameworks in creating a seamless business environment. Recognizing the importance of interoperability for continued growth in the digital economy, ABAC advocates for regulatory coherence on dataflows, cybersecurity, digitally deliverable services, including through a ‘New Services Agenda’.”

As artificial intelligence becomes more prevalent, ABAC emphasizes the need for frameworks that govern AI responsibly and inclusively. They recommend incorporating these standards into trade agreements and supporting skills development and structural reforms to maximize AI’s benefits while minimizing risks.

ABAC believes that creating a transparent, efficient, and investment-friendly climate across the region is essential. They urge APEC to prioritize measures that facilitate investment and to support the WTO’s Investment Facilitation for Development initiative, aiming to create a comprehensive roadmap for investment facilitation that adapts to the evolving global landscape. 

The climate crisis is central to ABAC’s agenda, with the Council noting that the world has experienced over a year of temperatures exceeding 1.5 degrees Celsius above pre-industrial levels. ABAC calls for urgent collective action, advocating for energy transitions, disaster preparedness, and climate risk mitigation. They emphasize the need for public-private partnerships to expand green financing, reduce currency risks, and support cross-border trading of voluntary carbon credits. Trade will also be central to an effective climate response, enabled through a cross-regional ‘Greener Trade Framework’.

Torreblanca highlighted work developed during the year under the theme ‘People. Business. Prosperity’ that confirms the value and power of partnership and collaboration to drive change and accomplish common goals that can improve people’s conditions, allow business to grow and generate prosperity.

Minister of Foreign Affairs Elmer Schialer delivered the keynote address to open the meeting and spoke of the enduring benefits of public-private partnerships and collaboration to achieve meaningful outcomes for the region. Minister of Foreign Trade and Tourism Desilú León addressed ABAC members highlighting the varied investment opportunities in Peru.

At the close of the meeting, ABAC Chair Julia Torreblanca passed leadership to H. S.  Cho of ABAC Korea, marking a transition as APEC leaders prepare to address these pressing challenges and explore opportunities for sustainable growth across the Asia-Pacific region.

ABAC-Statement-on-Digital-Now-&-Next-Developments-for-APEC.pdf

ABAC-Report-to-APEC-Economic-Leaders-2024.pdf