ASEAN

1. THE ASSOCIATION OF SOUTH
EAST ASIAN NATIONS
(ASEAN)
BY: TENZIE MARIA THOMAS
M.A ECONOMICS-II
INTERNATIONAL ECONOMICS

2. EMBLEM OF ASEAN AND IT’ S SIGNIFICANCE
1. The ASEAN Emblem represents a stable, peaceful, united and dynamic ASEAN.
The colours of the Emblem — blue, red, white and yellow — represent the main
colours of the state crests of all the ASEAN Member States.
2. Blue represents peace and stability, red depicts courage and dynamism, white shows
purity and yellow symbolises prosperity.
3. The ten bound stalks of rice in the centre of the Emblem represent the member states
of ASEAN. They represent the dream of ASEAN's Founding Fathers for an ASEAN
comprising all the countries in Southeast Asia, bound together in friendship and
solidarity.
4. The circle represents the unity of ASEAN.

3. HISTORY
1. ASEAN is a regional economic group of South East Asian
countries and is now emerging as a major force in the world trade
2. It was established on 8th August,1967 at Bangkok through
Bangkok Declaration signed by the Foreign Ministers of ASEAN
countries
3. The six original member countries: Indonesia, Malaysia,
Philippines, Singapore Thailand and Brunei
4. The headquarters of ASEAN is at Jakarta, Indonesia

4. 1. To accelerate economic growth , social progress and cultural
development of member countries
2. To promote active collaboration and mutual assistance in
matters of common interest
3. To maintain close cooperation with the existing international
and regional organisations with similar aims
4. To ensure the stability of the South East Asian region
OBJECTIVES OF ASEAN

5. WORKING OF ASEAN
•ASEAN countries have Preferential Trading Arrangements (PTA)
which reduces tariffs on products traded among member countries
•ASEAN has also developed a Common Effective Preferential Tariffs
(CEPT) in 1992 to reduce tariffs systematically for manufactured and
processed products
•This leads to an ASEAN free trade area
•Intra ASEAN trade covers only a small percentage of total trade of the
group

6. 1. Brunei Darussalam
2. Cambodia
3. Indonesia
4. Laos
5. Malaysia
6. Myanmar
7. Philippines
8. Singapore
9. Thailand
10. Vietnam
10 MEMBERS―

7. •The ASEAN Summit of Heads of Governments of member
countries is the highest forum for ASEAN cooperation
•Meetings are held once in three years
•The ASEAN Ministerial meeting of foreign ministers is the next
highest decision making body

8. FUNDAMENTAL PRINCIPLES
1. Mutual respect for the independence, sovereignty, equality, territorial integrity,
and national identity of all nations
2. The right of every State to lead its national existence free from external
interference, subversion, or coercion
3. Non-interference in the internal affairs of one another
4. Settlement of differences or disputes by peaceful manner
5. Renunciation of the threat or use of force
6. Effective cooperation among themselves.

9. ASEAN FREE TRADE AREA (FTA)
During the fourth ASEAN Summit in 1992 in Singapore FTA was
launched and came into force in 2015
Some of the benefits to member nations when FTA came into force are:
Free movement of goods, services and investments
Provide free access to all the markets of member countries fostering
growth
FTA will improve business competitiveness and narrow development
gaps between member countries

10. • ASEAN Political Security Community (APSC) – Ensures that the people
and Member States of ASEAN live in peace with one another and with the
world at large in a just, democratic and harmonious environment
• ASEAN Economic Community (AEC) – Transforms ASEAN into a stable,
prosperous, and highly competitive region with equitable economic
development, and reduced poverty and socio-economic disparities
OVERVIEW OFASEAN COMMUNITY

11. • ASEAN Socio-Cultural Community (ASCC) – Contributes to realizing
an ASEAN Community that is people-oriented and socially responsible with
a view to achieving enduring solidarity and unity among the peoples and
Member States of ASEAN
• Narrowing the Development Gap (NDG) ─ Progressing together through
cooperation in development

12. INDIAAND ASEAN
India’s relationship with ASEAN started in 1992 when India
became a “sectoral dialogue partner” of ASEAN
 Offer more access to the ASEAN market for India
 Geographic proximity of ASEAN countries to India
facilitates faster exports and lower freight costs
 Total population is around 500 million and this offers
market for Indian businesses
 Middle class population is on the rise in the ASEAN
regions thus the potential market base will also increases

13. ASEAN PLUS THREE (APT)
•Is a forum that functions as a coordinator of co-operation between the
Association of Southeast Asian Nations and the three East Asian nations of
China, South Korea, and Japan
•It includes cooperation in the areas of political and security; economic; finance;
tourism; agriculture and forestry;
•Rural development and poverty eradication; social welfare; youth; women;
civil service; labour; culture and arts; information and media; education;
science, technology, and innovation; and public heath.

14. •The ASEAN countries plus three countries are preparing plan for the
introduction of a common Asian Currency Unit (ACU) to facilitate trade
in the region
•Introduction of such common currency (on Euro Model) will lead to the
creation of single Asian market for trade purpose
•India may not be included in this group initially but in due course along
with Australia and New Zealand