Trade between ASEAN and China rose from 8 billion USD in 1991 to 425 billion USD in 2016, up about 56 times within 15 years. (Photo: linkedin.com)

 

Beijing (VNA) – The Association of Southeast Asian Nations (ASEAN) and China
should strengthen their links in trade, investment and finance, a professor
from the People’s University of China (PUC) has said.



Liu
Ying, a professor of the PUC’s Chongyang Institute for Financial Studies, said
the development of economic and trade ties between ASEAN and China will be
significant to economic growth of each side in the years to come.



To
bring into full play their cooperation potential, Liu Ying called on ASEAN and
China to intensify their connectivity in policies, infrastructure and transport
as well as cyber connectivity, along with enhancing political trust.



The
professor highlighted the quick formation of cross-border economic cooperation
areas between China and ASEAN’s neighbouring countries like Vietnam, Laos and
Cambodia, saying such zones have helped with the process of industrialisation,
urbanisation and informationalization in these countries.



Liu
Ying said both ASEAN and China should double
efforts to improve their investment environment and propose more measures and
policies to attract investors from the other side.



At the same time, it is necessary for them to increase the flows
of direct capital and boost infrastructure construction in the financial
sector, Liu Ying said, urging China to provide more
support for the ten-member group in the capital market and financial
connectivity.



In the
context that the US Federal Reserve Bank raises its interest rates and tightens
its monetary policies, and that President Donald Trump backs trade
protectionism, enhancing financial collaboration between ASEAN and China will help
prevent external risks and financial crises, and stabilise the domestic currency,
the professor said.



Besides,
ASEAN and China should increase people-to-people exchange, especially in
education and tourism, he added.



Liu
Ying highlighted the fact that China is ASEAN’s largest trade partner for eight
consecutive years and ASEAN has been China’s third largest trade partner over
the past six years.



Since
the two sides started their dialogue mechanism in 1991, two-way trade expanded
from 8 billion USD to 425 billion USD in 2016, up about 56 times within 15
years.



The total
bilateral investment capital also increased from 500 million USD in 1991 to 180
billion USD last year, up about 360 times within 15 years, he said.-VNA