Speaking at a media briefing yesterday, Anwar acknowledged the complexity of the region’s biggest challenges and said he harboured no illusions about being able to resolve them within a year.
“We are a small player in the region, but we need to be politically stable and economically resilient, and build strong bonds with our neighbours,” he said when elaborating on his personal expectations.
As Asean chair this year, Malaysia is adopting a pragmatic approach under the theme “Sustainability and Inclusivity”.
Anwar said the country was prioritising bilateral initiatives that contribute to broader Asean integration, citing joint development efforts along the border with southern Thailand as one example.
Asean members are also trading more in local currencies, with over 20% of Malaysia’s trade with Indonesia and China already denominated in the ringgit or yuan.
Dismissing talk of a de-dollarisation of business activity and the establishment of an Asian Monetary Fund, Anwar said regional currency swaps under the Chiang Mai Initiative pointed to growing financial cooperation.
“Our thrust for Asean this year is, of course, to strengthen cohesiveness, to increase intra-Asean trade, and to focus on economy and investments,” he said.
Anwar also highlighted progress on the Asean Power Grid, which aims to connect Sarawak’s energy supply to Sabah, Kalimantan, and the southern Philippines.
“This is something which we need to explore further, particularly because we have settled the Petronas-Petros issue,” he said.
Geopolitical tensions
Anwar played down talk of worsening tensions in the South China Sea, acknowledging occasional friction between China and the Philippines but noting a recent report that tensions appeared to be “cooling off”.
“In the last few weeks, things have been more cool, more circumspect,” he said, adding that both sides appeared “very ready to discuss” the matter.
He reiterated Asean’s stance of strategic neutrality, stressing continued engagement with all its partners, including the US, China, and the European Union, without choosing sides.
Key things to watch
One major outcome expected from this year’s summit is the Kuala Lumpur Declaration, and the launch of the Asean Community Vision 2045, a 20-year blueprint aimed at enhancing the bloc’s political, economic, and socio-cultural cooperation.
According to Anwar, the blueprint is “comprehensive” and will cover digitalisation and other future-oriented issues while ensuring that the “pre-conditions of peace and security” are maintained.
Malaysia will also host the first Asean-Gulf Cooperation Council–China Economic Summit, aimed at strengthening interregional economic ties.
Anwar rejected suggestions that the initiative represented the formation of a new geopolitical alliance.
“It’s not a power triangle,” he said, adding that discussions might include joint subregional projects.