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most active businessmen of the <strong>free</strong> <strong>zone</strong> is to find the most suitable<br />
and satisfying strategic policies for the economic development, based<br />
on the real efficiency of investments<br />
relating to the distribution and<br />
allocation<br />
of resources.<br />
What can we learn from the Asian Newly Industrialised<br />
Economies?<br />
On my diplomatic mission in Southeast Asia (1993-997) I<br />
came into close contacts with the economic reality of this region and<br />
learned that the most developed part of Asia is located in the<br />
Southeast region. This region with an astonishing record of sustained<br />
growth, within less than two decades, has improved the living<br />
standards<br />
of more people, more rapidly, than at any other time or<br />
place in history.<br />
Southeast Asian economies are built on strong basic<br />
fundamentals, which are still in place even now that this region is<br />
trying to find the way out of its financial turmoil. These economies<br />
have been built following the Japanese model of high savings and<br />
cheap money directed to strategic industries, which helped Japan to<br />
catch up with the West very quickly. The economists points of view<br />
on these fundamentals differ but most of them agree with the view<br />
that, unlike the other Asian countries such as India, etc., the<br />
Southeast Asian economic development has been due to `openness'<br />
and outward orientation, and greater reliance placed on market<br />
forces. The hard work, management and worker efficiency,<br />
adoption<br />
of the world best-practice, promotion of research and development<br />
(R&D), entrepreneurship, high savings, productive investments, low<br />
taxation, flexible labour markets, family values, sound government<br />
policies, macroeconomic stability, active trade, and export<br />
policies<br />
helped the region to grow at 7 - 8% a year for more than a decade.<br />
Southeast Asia experienced an export-led economic growth.<br />
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