Bulletin Number Three

As you know, the news media have recently been full of stories and commentaries about current economic events — protectionism, fluctuating currency exchange rates, volatile stock markets, increasing debt, and non-repayment of this debt. Certainly, these are all factors currently affecting the economic well-being of the Asia Pacific Region. The economic growth of the Asia Pacific region has been the envy of the rest of the world. Much of this growth has occurred because it was built upon trade and cooperation between the countries of the region. However, as seen in your programme, trade is not the only issue of concern. Many other factors affect the interaction taking place between the countries of the region. A number of countries within the region need new sources of direct investment. With this investment comes technology transfer, and perhaps an infusion of managerial skills. Investment, technology, and managerial skills are desparately needed by some of the countries of the region. On the other hand, some countries within the region may have to restructure their economic priorities, while still other countries which have recently become major economic players may have to develop a new set of responsibilities. In any event, future cooperative efforts of the countries within the region should be directed at creating an even greater success story. This effort, however, may require a new kind of economic partnership 一 a partnership where everyone will benefit, not just a few. The nice thing about the Asia Pacific Region is that it is a highly diversified area, economically, politically, culturally . . . in almost every way. This means that we can all learn a great deal from each other. No one country can really go it alone. Each country can and should learn from each other about new approaches to management, about approaches to educating and training, about new applications of technology, and about each other's cultural environment. The fundamental issue, however, is one of whether or not we are preparing ourselves to meet the challenges of an increasingly interdependent world. Although no one may be able to accurately predict what the future will look like, we do know that each country within the region needs to be better equipped to meet both the internal and external challenges. Will these countries look at these challenges as threats or as opportunities and thus, how will they respond? Hopefully, they will look upon these challenges as opportunities and respond in a positive manner. And if I can quote a statement from Peter Drucker in a recent article, ‘From now on, any c but also any business, especially a large one — that wants to prosper will have to accept that it is the world economy that leads, and that domestic economic policies will succeed only if they strengthen, or at least do not impair, the country's international competitive position. This may be the most important if not the most striking feature of the changing world economy'. I am sure that each person in this room agrees with Mr. Drucker's comment; otherwise you would not be attending this Conference. I do wish you well during the Conference and during your stay in Hong Kong and do hope that each of you will walk away wit h a little better understanding of the many issues and events which will shape the future developments within the Asia Pacific Region. 12