ASOCIO AEC Digital Task Force Kickoff Meeting January

ASOCIO AEC Digital Task Force Kick-off Meeting January 21, 2016 Bangkok, Thailand PIKOM CONFIDENTIAL

Seq 1 2 3 Time 1330 -1340 -1400 Subject Opening Remarks Opening and Welcome Remarks 1400 -1430 AEC Blueprint 2025 4 1430 -1510 Progress towards AEC and Free Flow of Skilled Workers 5 1510 -1530 Coffee Break 6 1530 -1700 ASOCIO AEC Digital Task Force Business Plan and Initiative 2016 -2017 7 1700 -1710 Closing Remarks David Wong, Chair of ASOCIO AEC Digital Task Force, PIKOM, Malaysia Mr. Bunrak Saraggananda, Chairman, ASOCIO and Mr. Thanachart Numm. Chairman, ATCI, Thailand David Wong, Chair of ASOCIO AEC Digital Task Force, PIKOM, Malaysia Miss Kejpiroon Kohsuwan Executive Director , Bureau of Trade in services and Investment , Department of Trade Negotiations of Thailand All Mr. Bunrak Saraggananda, Chairman, ASOCIO

ASOCIO ASEAN ECONOMIC COMMUNITY (AEC) DIGITAL TASKFORCE KICK OFF IN BANGKOK JAN 21, 2016

1. ASOCIO formed the AEC Digital Taskforce in Oct 2015 to capitalise and provide a voice on for the ICT industry on AEC implementation. 2. PIKOM of Malaysia chairs the taskforce with Thailand , Myanmar, Vietnam , Taiwan, Hong Kong and India.

Objectives of Kick-Off Meeting • Update on Progress of AEC and understanding of ASEAN and AEC secretariat functions • Identify and prioritise ASOCIO’s initiatives and action plan • Setup of Action plan commitees • Proposed Setup of Board of Advisors

TERMS OF REFERENCE 1. Engage with Asian Economic Community (AEC) to Enable Maximum Participation in Business Opportunities among ASOCIO Member Economies. 2. Develop Trade initiatives aligned to the Blueprint of AEC. 3. Create platform to leverage and support freer flow of skilled workforce, products and services. 4. Position ASOCIO as a vital interest group of AEC to engage dialogues with ASEAN Secretariat and ASEAN ICT Ministers Meeting (TELMIN). PIKOM CONFIDENTIAL Source: AEC Blueprint 2025

PIKOM CONFIDENTIAL

MINISTERIAL LEVEL INTERVENTIONS & ADVOCACY ASEAN STRATEGIC STRUCTURE Human Rights Economy Culture & Arts Foreign Affairs Trade Sports Regional Affairs Energy Disaster Management Defense Agriculture & Forestry Education Legal Finance Environment Transnational Crime Investment Haze Pollution Minerals Health Science & Technology Information Telecommunications / IT Labour Transport Rural / Poverty Tourism Social Welfare Mekong Basin Women Development Gap Youth PIKOM CONFIDENTIAL

Comparison of AEC, EU economic integration ○ ∆ Χ Goal achieved, nearly achieved Insufficient progress No progress, no such goal Abolition of intrabloc tariffs Adoption of common tariffs on goods, services from outside bloc Adoption of common currency Free movement of people Elimination of nontariff barriers Adoption of common regulations PIKOM CONFIDENTIAL EU AEC ○ ○ ○ Χ ∆ ∆ ∆

Progress of AEC ○ Almost fully liberalized ∆ Not yet liberalized, despite some progressΧ Negligible progress DEGREE OF PROGRESS | KEY POLICIES TRADE IN GOODS ○ Elimination of intrabloc tariffs Almost complete in six major nations; Four less-developed countries to abolish most tariffs by 2018 ∆ Χ Relaxation of customs clearance procedures Some improvements but bottlenecks remain Elimination of nontariff measures Indonesia, some other countries showing signs of protectionism TRADE IN SERVICES ∆ Deregulation of services Plan to allow foreign companies to own 70% or more of joint ventures in 128 fields put on hold FLOW OF FUNDS ∆ Deregulation of financial services Lending across intrabloc borders approved; so far, no financial institutions qualified to offer such loans MOVEMENT OF PEOPLE ∆ Movement of professionals Agreement calls for letting architects, seven other types o f professionals move freely across intrabloc borders; implementation remains uncertain PIKOM CONFIDENTIAL

ABOUT ASEAN SECRETARIAT PIKOM CONFIDENTIAL

ABOUT ASEAN SECRETARIAT Deputy Secretary-General of ASEAN for ASEAN Economic Community Dr. LIM HONG HIN The DSG AEC assists SG in supporting the realisation of the AEC by 2015. He oversees the implementation of the AEC Blueprint towards the establishment of a Single Market and Production Base, a competitive economic region characterised by equitable development, and a region that is fully plugged into the global economy. PIKOM CONFIDENTIAL

ABOUT ASEAN SECRETARIAT PIKOM CONFIDENTIAL Contact Detail: Jl. Sisingamangaraja 70 A Jakarta 12110 Indonesia Tel : (62 -21) 7262991, 7243372 Fax : (62 -21) 7398234, 7243504 Email : public@asean. org Website: http: //www. asean. org/

ASOCIO PRIORITIES AND ACTION PLAN PIKOM CONFIDENTIAL

AEC Blueprint 2025 – ICT A key driver in the AEC blueprint is Information and Communications Technology (ICT). A strong ICT framework will help create an environment that is favorable to attract and promote trade, investments and entrepreneurship. Strategic measures of the AEC 2025 are based on the following: i. Economic Transformation – Explore the use of ICT for economic development and promote digital trade in ASEAN. ii. People Integration and Empowerment Through ICT – Strengthen digital inclusion for community development and enhancing broadband penetration andaffordability. iii. Innovation – Supporting ICT innovations, entrepreneurship and new technology developments such as Big Data Analytics and Smart City. iv. ICT Infrastructure Development – Developing measures to enhance and improving the ICT infrastructure in rural areas. PIKOM CONFIDENTIAL Source: AEC Blueprint 2025

AEC Blueprint 2025 – ICT v. Human Capital Development – Strengthen the professional development of the ICT workforce in the ASEAN region. vi. ICT in the Single Market – Promoting a freer flow of ICT products and services as well as lowering international roaming charges in the ASEAN region. vii. New Media and Content Industry – Encouraging the advancement and improvement of e-services and new media. viii. Information Security and Assurance – Establishing a trusted and reliable digital ecosystem, strengthening cooperation on cyber security and developing measures to protect personal data. PIKOM CONFIDENTIAL Source: AEC Blueprint 2025

AEC Blueprint 2025 – E-Commerce Connected through ICT, the global electronic commerce (e-Commerce) functions and performs a vital role in cross-border trade and facilitating foreign investment through the supply of intermediary services. Strategic measures in facilitating e-Commerce transactions in ASEAN includes the following: i. Harmonising consumer rights and protection laws. ii. Harmonising legal framework for online dispute resolution, taking into account available international standards. iii. Schemes on e-identity and authorisation (electronic signature) iv. Coherent and comprehensive framework on personal data protection. PIKOM CONFIDENTIAL

POSSIBLE INITIATIVES 1. ASEAN ICT Skills Registry – to participate in common standards and mutual recognition arrangements (MRA) for ICT professionals in the region. This will build on the earlier effort where 8 MRAs were concluded, namely engineering services, nursing services, architectural services, framework for surveying qualifications, medical practitioners, dental practitioners, the framework for accounting services, and tourism professionals. 2. Creation and recognition of common skill certifications to facilitate movement and recognition of ICT professionals 3. E-Commerce to drive intra-ASEAN trade and to put in place incentives/legal & tax framework/infrastructure with harmonized laws and regulations, enhanced payment platforms and strong logistics network. PIKOM CONFIDENTIAL

POSSIBLE INITIATIVES Collaboration with WITSA on Public Policy Papers – Free flow of information across nationality/regional borders – Security , privacy and data protection – Internet governance – International Trade – Women in IT

THANK YOU PIKOM CONFIDENTIAL

Seq 1 2 3 Time 1330 -1340 -1400 Subject Opening Remarks Opening and Welcome Remarks 1400 -1430 AEC Blueprint 2025 4 1430 -1510 Progress towards AEC and Free Flow of Skilled Workers 5 1510 -1530 Coffee Break 6 1530 -1700 ASOCIO AEC Digital Task Force Business Plan and Initiative 2016 -2017 7 1700 -1710 Closing Remarks David Wong, Chair of ASOCIO AEC Digital Task Force, PIKOM, Malaysia Mr. Bunrak Saraggananda, Chairman, ASOCIO and Mr. Thanachart Numm. Chairman, ATCI, Thailand David Wong, Chair of ASOCIO AEC Digital Task Force, PIKOM, Malaysia Miss Kejpiroon Kohsuwan Executive Director , Bureau of Trade in services and Investment , Department of Trade Negotiations of Thailand All Mr. Bunrak Saraggananda, Chairman, ASOCIO

Miss Kejpiroon Kohsuwan Executive Director , Bureau of Trade in services and Investment , Department of Trade Negotiations of Thailand PIKOM CONFIDENTIAL

Introduction to ASEAN Secretariat (ASEC) Kejpiroon Kate Kohsuwan 21 January 2016 Department of Trade Negotiations 23

ASEAN Community Year 2015 ASEAN Economic Community (AEC) ASEAN Security Community (ASC) ASEAN Sociocultural Community (ASCC) PIKOM CONFIDENTIAL AEC Blueprint One Vision One Identity One Community 24

AEC Blueprint Characteristics and Elements of AEC Single Market and production base Highly competitive economic region - Free flow of goods - Competition Policy - SME development - Free flow of services - Consumer Protection - Initiative for ASEAN Integration (IAI) - Free flow of investment - Freer flow of capital - Free flow of skilled labour Equitable economic development Fully integrated into global economy - Coherent Approach towards External Economic Relations - Enhanced participation in global supply networks - Intellectual property rights (IPR) - Infrastructure Development - Taxation - E-Commerce PIKOM CONFIDENTIAL 25

AEC 2015 vs. AEC 2025 AEC 2015 AEC 2025 1 Single Market & Production Base A Highly Integrated and Cohesive Economy 2 Competitive Economic Region A Competitive, Innovative and Dynamic ASEAN Enhanced Connectivity and 1 2 Sectoral Cooperation 3 3 Equitable Economic Development A Resilient, Inclusive, People-Oriented and People-Centred ASEAN 4 4 Integration into Global Economy A Global ASEAN 5 PIKOM CONFIDENTIAL 26

ASEAN Structure Summit )Prime Minister( AC Council )Coordinator( )Minister of Foreign Affairs ( AEC Council )Economy Affairs( )Deputy PM-Economy Affairs( ASCC Council )Social-Cultural Affairs( )Minister of Social Dev. & Human Security(. Remark: AEM = ASEAN Economic Ministers (AEM) Meeting AFTA Council = ASEAN Free Trade Area Council AIA Council = ASEAN Investment Area Council AFMM = ASEAN Finance Ministers’ Meeting AMAF = ASEAN Ministers Meeting on Agriculture and Forestry AMEM = ASEAN Ministers on Energy Meeting AMMin = ASEAN Ministerial Meeting on Minerals AMMST = ASEAN Ministerial Meeting on Science and Technology TELMIN = Telecommunication and IT Ministers Meeting ATM = ASEAN Transport Ministers Meeting M-ATM = Meeting of the ASEAN Tourism Ministers AMBDC = ASEAN Mekong Basin Development Cooperation APSC Council )Political Affairs( )Minister of Foreign Affairs( 12 Sectoral Ministerial Bodies AEM AFTA Council AIA Council AFMM AMAF AMEM AMMin AMMST TELMIN ATM M-ATM AMBDC )Commerce) (Commerce ((BOI) (Finance) (Agriculture) (Energy) (Natural Resource) (Sci & Tech ((ICT) ) Transportation) (Tourism ( )Commerce( 27

AEM )Minister of Commerce(. HLTF-EI )Permanent Secretary-Ministry of Commerce( ASOMM CCA CCS ASEAN NTOs CCI TELSOM SOMAMAF SEOM )��. � �(. COST SOME STOM ACSS SMEWG Customs DG AFDM Remark: CCA = Coordinating Committee on the Implementation of ATIGA CCS = Coordinating Committee on Services AWGIPC CCI = Coordinating Committee on Investment AWGIPC = ASEAN Working Group on Intellectual Property Cooperation AEGC = ASEAN Experts Group on Competition AEGC ACCSQ = ASEAN Consultative Committee on Standards and Quality ACCP = ASEAN Committee on Consumer Protection ACSS = ASEAN Community Statistic System Committee AFDM = ASEAN Finance & Central Bank Deputies Meeting ACCSQ Customs DG = ASEAN Directors-General of Customs Meeting SMEWG = ASEAN Small and Medium Enterprise Agencies Working Group STOM = Senior Transport Officials Meeting ACCP SOME = Senior Officials Meeting on Energy COST = Committee on Science and Technology SOM-AMAF = Senior Official Meeting of the ASEAN Ministers on Agriculture and Forestry TELSOM = Telecommunications and Information Technology Senior Officials Meeting ASEAN NTOs = ASEAN National Tourism Organisations ASOMM = ASEAN Senior Officials Meeting on Mineral 28

Organizational Chart of AEC Department (ASEAN Secretariat) Deputy Secretary-General (AEC) Market Integration Directorate (MID) Finance, Industry & Infrastructure Directorate (FIID) ASEAN Integration Monitoring Office (AIMO) Trade & Facilitation Division (TFD) Infrastructure Division Monitoring/ Surveillance Services & Investment Division (SID) Agriculture Industries & Natural Resoruces Division Statistics Competition, Consumer Protection & IPR Division (CCPID) Finance Integration External Economic Relations Division (EERD) IAI & NDG Division 29