PM Wong proposes Asean-wide payment network to deepen regional economic integration

[MANILA] Asean should develop a region-wide network of cross-border payment systems to make transactions cheaper and easier for businesses and consumers, Singapore’s Prime Minister Lawrence Wong said on Sunday (Nov 15).

Speaking at the plenary session of the 49th Asean Summit in Manila, he said the region should deepen economic integration and pursue practical cooperation amid growing global uncertainty.

He pointed to existing bilateral payment linkages between Singapore and countries such as Malaysia and Thailand, which could serve as the foundation for a wider regional network.

Such a network would “make it easier and cheaper for our businesses and citizens to transact with one another”, benefiting tourists and those sending remittances home, he said.

PM Wong also welcomed the signing of the Asean Digital Economy Framework Agreement (Defa) on Saturday, describing it as a significant milestone in regional integration.

But he said the agreement was only a first step, with more work needed to link up Asean’s economies digitally and enable businesses to operate more seamlessly across borders.

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Another priority was expanding access to artificial intelligence tools and capabilities to raise productivity and accelerate economic growth.

PM Wong noted that Asean’s economies had grown by around 4 to 5 per cent annually in recent years, outperforming the global average.

“But really, Asean has the potential to grow even further, even faster,” he said, adding that sustained growth over the next 10 to 20 years could establish the region as a significant growth centre.

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Greater digital integration must also be accompanied by stronger regional coordination against cyberthreats and online scams, he added.

Turning to energy security, PM Wong said the growing adoption of AI and other digital technologies would increase demand for electricity in the region. Recent disruptions in the Middle East had also reinforced the importance of strengthening Asean’s collective response to energy crises.

He urged member states to swiftly ratify the Asean Petroleum Security Agreement and prioritise the development of the Asean Power Grid.

Beyond economic integration, PM Wong stressed the importance of maintaining strong relationships with external partners amid growing geopolitical competition.

“Asean has been the arena for proxy fights between major powers before,” he said. “We have been through that difficult experience. We don’t want that to happen again.”

He said the grouping should reject zero-sum competition and engage all major powers to ensure they have a stake in a peaceful, open and inclusive region.

Singapore, which assumes the Asean chairmanship in 2027, will build on initiatives advanced under the Philippines’ chairmanship and work with Thailand, the subsequent chair, to maintain momentum.

PM Wong said Asean’s unity would be critical to navigating further uncertainty.

“Looking ahead, we can expect more turbulence and storms, but so long as we remain cohesive and united, I’m sure we can continue to navigate our path forward and emerge stronger,” he said.