WB lead economist Philip O’Keefe said Indonesia was among countries in East Asia and the Pacific that was aging very quickly.

“It is a risk where people will have more poverty in old age. […] in Indonesia, those aged over 70 years old are much more likely to be poor,” he said a discussion in Jakarta on Monday.

O’Keefe went on to say the government should make policies that could help people improve their health. He further said the living behavior of Indonesian people was risky. He referred to the country’s high smoking behavior, with cigarette prices, which were very cheap, as one of several triggering factors.

The Social Affairs Ministry’s director general for security and social protection, Harry Hikmat, said Indonesia needed an Rp 6.72 trillion ( US$494 million ) budget per year to overcome poverty among senior citizens.

He said the figure might be higher as the number of old people in Indonesia was estimated to increase in the years to come.

Citing official data, Harry said the number of the elderly in 2014 reached 18.8 million but it would grow to 48.2 million in 2025 and 80 million in 2050.

“If the budget problem can’t be solved, I am worried poverty rate in Indonesia is getting worse,” he said.

The initiative presented to a forum coorganised recently in Hanoi by the Vietnam Environment Administration (VEA), the Vietnam Administration of Forestry (VNFOREST) and the Vietnam Association for Conservation of Nature and Environment (VACNE), was highlighted as one of the most effective solutions for the protection of biodiversity, which is increasingly under threat in Vietnam.

The purpose of the initiative was to help promote different stakeholders and partners to jointly provide technical support, policy advice, institutional capacity strengthening and resources for the sustainable use of ecosystem services, experts at the forum said.

Speaking at the forum, Nguyen The Dong, deputy director of the VEA under the Ministry of Natural Resources and Environment said, “Being well aware that Vietnam is one of the world’s ten most significant biodiversity hotspots, related Vietnamese ministries and sectors had been in an all effort to find solutions to the situation.”

One of the initiatives introduced last year was the signing of a cooperative programme on biodiversity preservation 2015-2020 between the VEA and VNFOREST, the two authorities that share a common function and task in managing biodiversity.

This programme provided for the coordinated implementation of State management in nature conservation and biodiversity through the development of legal documents, policies, plans and inspections, Dong said.

The Department of Nature Conservation of VNFOREST and the Biodiversity Conservation Agency of VEA were focal points for the implementation of the programme, he added.

Both agencies have jointly developed a collaborative work plan for 2016-2017, according to the VEA official.

According to the Vietnam’s 5th National Report to the United Nations Convention on Biodiversity for the period 2009-2013, biodiversity in Vietnam was seriously threatened due mainly to increasing population pressures, over exploitation of natural resources, climate change, the fragmentation of state management of biodiversity, and a lack of policy and regulatory conformity.

While biodiversity and ecosystem services played a vital role in the livelihoods of rural populations in the country, including millions of people living in the proximity of forests and in coastal areas, there was a lack of effective inter-sectoral coordination mechanisms in biodiversity management and preservation.

There was also a lack of collaboration in response to overlapping functions among relevant ministries and agencies.

The forum entitled, “Building a platform for biodiversity conservation and sustainable use of ecosystem services,” was supported by the German Development Co-operation (GIZ) commissioned by the German Federal Ministry for Economic Corporation and Development and the United Nations Development Programme. It was held to celebrate yesterday’s International Day for Biological Diversity 2016 with the theme of, “Mainstreaming biodiversity: sustaining people and their livelihoods.”

“Indonesia and Laos have enjoyed a good relationship since the 1950s and the brotherhood between the two nations has continuously increased over the years,” Ambassador of the Republic of Indonesia, Mr Irmawan Emir Wisnandar said on Friday.

He was speaking at the opening of the Wonderful Indonesia exhibition at the Vientiane Center shopping mall, which features exhibits from some 40 Indonesian companies over the period from May 27-29.

The event aims to showcase various Indonesian products and services, especially creating business opportunities for both Lao and Indonesian investors to exchange trade and potential business partners.

Emir Wisnandar said despite the great potential and excellent political and social relations between Laos and Indonesia, the figures on trade and investment collaboration are relatively modest and far behind expectations.

According to the Lao Ministry of Industry and Commerce, in fiscal year 2015 bilateral trade dramatically escalated to approximately US$12.1 million with exports to Indonesia at US$640,475, and imports from Indonesia at US$11.5 million.

The main products exported are agricultural and industrial products, whereas vehicle accessories, medical appliances, electronic components and construction tools are imported from Indonesia.

Mr Emir Wisnandar said the exhibition under the theme Wonderful Indonesia in Laos aims to expand cooperation and partnership among the busin ess communities of the two countries by creating opportunities to meet up, explore and build networks as well as taking advantage of any economic potentials.

The event was the first integrated promotion between Indonesia and Laos. It also offered a good opportunity for Lao craftsman and Small-Medium Enterprises to absorb knowledge from three workshops on wood carving, batik painting and spa treatment.

Deputy Minister of Industry and Commerce, Mr Somchit Inthamith said due to the international business growth and international integration, particularly for the Asean Economic Community, the event is a great chance to share related business, trade, and investment through the business matching session.

Mr Somchit said that this year, Laos had the great honour to assume the Asean Chairmanship.

The country has the potential to be a production, trade and investment centre through its land-link policy to connect with Asean member countries.

He noted that integration and connection would deepen the interaction between Asean business communities and events such as the Wonderful Indonesia exhibition would help strengthen relations and cooperation between Laos and Indonesia.

As a part of the exhibition, there are 11 Indonesian universities participating, with the education fair offering a bridge for more MOUs with local universities and the Lao Minist ry of Education and Sports in an effort to advance educational business exchanges and cooperation.

They are focusing on billboards that have not been authorised by the authorities as well as those that are not sufficiently sturdy and could be blown down in heavy winds, posing a danger to the public.

The Vientiane Public Works and Transport Department has announced that people should not install any signs along roads and should not put up posters on electricity poles, except those that advertise special event s.

Department Director Detsongkham Thammavong told Vientiane Times the authorities have organised teams to inspect advertising signs and warn their owners before removing them.

“Those who infringe the regulations will be fined by the authorities, with the amount of the fine depending on the type of sign,” he said.

The move aims to create a more orderly appearance and reduce the risk of accidents. Attempts to make Vientiane more attractive are currently underway in the run up to the city’s hosting of the Asean Summit in September.

Detsongkham sai d teams are surveying target areas in the city’s four main districts of Chanthabouly, Sikhottabong, Xaysettha and Sisattanak. They are removing poor quality and flimsy signs and hope to complete the project by August.

The city’s residents are also being asked not to erect any structures that may encroach onto roadsides. The department is requesting homeowners and businesses not to construct anything in a public area, particularly along roadsides.

Some construction work is affecting the drainage system, and soil and sand have clogged drains which has resulted in flooding on some roads.

Department officials say drains must be kept free of soil and that builders should keep sand and gravel in neat piles by the roadsides and should not install sub-standard drainage systems or fill in marshland.

Detsongkham said “Officials have surveyed target locations including houses, state and private offices and other places along main roads in all of Vientiane’s districts. Many places will be given warnings, requesting their owners to remove offending structures or soil.”

“Officials are working hard to resolve these problems and are asking for everyone’s help in complying with the announcement as it will ultimately benefit the public,” he added.

The project, worth 2.5 million euros ($2.7 million) and funded by the EU, promotes sustainable economic prosperity and poverty reduction in the provinces of Soc Trang, Bac Lieu and Ca Mau.

Small- and medium-sized processors, shrimp producers and local residents will benefit from the project, which will end in February 2020.

Alejandro Montalban, Minister Counsellor of the Delegation of the European Union to Viet Nam, said the project would contribute to efficient use of resources, responsible production supply chains and practices, improved social and environmental conditions, and reduced waste.

Besides technical support, the project will work with stakeholders to help small-scale shrimp breeders and small- and medium-sized shrimp processors access adequate financing.

The aim is to give shrimp farmers and processors a stronger voice when negotiating with other participants in the value chain.

Speaking at a seminar held in Can Tho on Wednesday, Nguyen Le Hoa, deputy country director of Oxfam in Vietnam, said about one million Vietnamese earn a living from shrimp production, and 80 per cent of them are small-scale farmers.

Shrimp production nationwide provides three million jobs in shrimp processing plants, she said.

However, the boom in growth of unzoned shrimp cultivation in recent years has caused pollution of fresh water resources, destruction of submerged forests and depletion of fisheries resources.

Shrimp breeders had suffered losses because of disease outbreaks, and unguaranteed quality of shrimp fries and feed, she said.

Many shrimp breeders said the quality of shrimp fries and medicine for treating shrimp diseases had not been strictly managed.

They said that shrimp fry sellers were not responsible for shrimp fry deaths or illness as the responsible agencies had not issued sanctions.

Ngo Cong Luan, director of the October 14 Agriculture and Fisheries Co-operative in Soc Trang Province, said his co-operative members had suffered losses even though they breed shrimp under Vietnamese Good Agriculture Practices (VietGAP).

Though the cost of breeding shrimp under VietGap is higher, shrimp processors buy the co-operative’s shrimp at a price equal to shrimp bred by traditional methods.

Tran Quoc Tuan, chairman of the April 30 Co-operative Team in Bac Lieu Province, said that shrimp breeders need a large amount of capital for their business.

In years when they suffer losses, they cannot pay back bank loans or borrow new loans to breed shrimp for the next crop, he said.

Pham Xuan Hoa, deputy head of the State Bank of Viet Nam’s Banking Strategy Institute, said the Government and the Ministry of Agriculture and Rural Development should organise the shrimp sector into chains. Banks could then provide loans, he said.

Huynh Kim Tuoc, director of the Ho Chi Minh City Energy Saving Centre, said the centre had surveyed 100 seafood companies across the country and found that productivity was lower than companies in the region.

Of the surveyed companies, 70 used low- or mid-tier technologies, so costs were double of those of Thai seafood companies.

Vietnamese companies had not paid sufficient attention to building brand names and marketing strategies, and had created few products with added value, he said.

Its governor Muhammad Ibrahim said on Thursday (May 26): “We want to push it through by July so that the banking institutions have time to comment on it.”

Speaking on the sidelines of the 20th Malaysian Banking Summit, he said the comments from the banks would make the regulations more effective when it comes to the time to implement them.

In his keynote address, Muhammad said the framework for fintech firms was to test innovations in the financial services operational environment. Indeed, BNM has long recognised the power of technology in driving the financial sector forward, he said.

“Over the years, banks have harnessed the power of technology to reap significant benefits. Bank Negara has supported this development on many fronts including in the areas of payments, internet banking, agent banking, Islamic finance and money exchange and remittances. Fintech will be a new addition to the list,” it said.

Muhammd said fintech developments such as blockchain, artificial intelligence and biometric applications are now expanding the frontiers of banking.

“Because of the profound implication of new technology, we require a re-think of the regulatory framework in addressing consumer protection and market conduct issues as well as the technological impact on the orderly functioning of financial markets.

“We expect that the framework would enable fintech firms to provide regulated financial services directly to the public, or in partnership with financial institutions, and to operate under more flexible regulatory arrangements.

“We take cognisance that some innovations cannot be achieved within existing regulatory parameters. Nonetheless, to protect the interests of consumers, this will be subject to certain safeguards. The innovation must provide a clear benefit to the general public or financial industry. A firm that operates within the framework must also commit to observe reasonable standards of service, transparency to customers, appropriate funding and reporting requirements.

“These are not meant to stifle the creative process at play, but rather facilitating an orderly process while protecting consumers interests and maintaining market confidence.

“The bank also expects the framework to deliver a number of key benefits. It will provide regulatory clarity for fintech start-ups, and for banks and consumers that use their services. It will also lower barriers to entry and accelerate the time-to-market for productive innovations.

“Our aim is therefore to support fintech firms that go on to upscale their activities, and aid fintech firms to better anticipate and adjust to appropriate regulatory expectations,” said Muhammad.

Speaking on his final day of a three-day trip in Vietnam before heading to Japan for the G7 summit, he said: “I want to thank the government and the people of Vietnam for the wonderful hospitality that you have given me over the past three days. I’ve been deeply touched.””Spending time with young people like you gives me incredible optimism about the future because all of you embody the energy and drive that is helping propel this region to new heights. You make me hopeful about the future of Asean, hopeful about the future of the world.”

He noted that key parts of his foreign policy relied on cooperation and agreement on a variety of policies, but that “government and businesses were only part of the equation”.

“If we’re going to meet all of these challenges, we also have to build strong relationships between our people and especially between young people like you.”

Young Vietnamese and the future

He encouraged the members of YSEALI, a signature initiative begun by Obama to promote leadership development in South East Asia, to remain involved in the challenges facing the area.

“Change doesn’t happen overnight. It requires that you stay active and involved over the long term and it requires you to develop some practical tools. And that’s why three years ago, I launched the YSEALI (Young South Asian Leaders Initiative). And the goal is to empower young people like you with these skills, resources and networks that you need to turn your ideas into actions.”

“It’s why on this visit, we have announced the new partnership between American universities like Arizona State University and Vietnamese universities and Fulbright University Vietnam. The goal is to make sure that Vietnamese students, no matter what their backgrounds, have access to a world-class education that is rooted in Vietnam’s rich culture and fueled by this free exchange of ideas.”

Obama also expressed his thanks to former US Senator Bob Kerrey, one of the key people in the effort to establish Fulbright University Vietnam.

“This reflects our belief in you and your ability in moving Vietnam forward. There are some incredible young people here, a great example of talent and drive,” Obama said.

The US President mentioned two outstanding young Vietnamese, Ngan Dang and Le Xuan Loc, who exemplified the dynamic spirit of today’s generation.

“Ngan started a volunteer group to work with street children, orphans, and people with physical disabilities right here in HCM City. So far, they’re recruited some 450 volunteers, delivered over 7,000 hours of mentoring, and built five libraries in two cities. And that’s just one example of the incredible work that has been done by young people right here in Vietnam,” he said.

“Loc teaches at Vietnam National University – HCM City, and is a researcher at the Pasteur Institute. His dream is to go back to his hometown to open a medical center so he can deliver quality, affordable healthcare.”

“The fact shows so many of you are already showing that you can change the world to reflect our best values,” Obama said. “You’re showing that with determination and commitment and optimism and hard work, anything is possible. And that’s why I’m so hopeful about the future between the US and Vietnam, that our relationships will continue to grow deeper and stronger. But I’m also optimistic that you’re going to be able to change the region and the world in so many positive ways.”

Business opportunities

Asked about export opportunities, Obama emphasised entrepreneurship, start-ups, the selling of goods across borders, and creation of jobs and great products and services.

“Yesterday, I had the chance to meet with a number of young Vietnamese entrepreneurs who have already created digital platforms to sell goods. This is one of the reasons we are pushing very hard for the TPP because it reduces the barriers between countries to sell their goods and services,” he said.

“It gives opportunities not just for big companies but also small companies to enter the global supply chain. It raises labour standards and environmental standards so that all countries are working on a level playing field,” he added.

“And if we can get that done and the goal is, I think, to complete TPP by the end of this year, then that will open up a lot of opportunities and create great confidence among investors here in Vietnam and US companies who are interested in working with young people like you who may have a great idea.”

“My job is to make sure that we have the kind of rules in place that make it easier for businesses to get to know each other, to meet. And one of the things that we are doing with the Vietnamese government is looking for opportunities for trade missions, for businesses to come and learn about what’s going on.”

Different paths to success

During his talk, Obama also spoke about his years as a student and young professional, and his path to success.

“When I was your age, I was not as well organised or well educated and I wasn’t always serious. So you already are ahead of me, you’re doing well.”

“Whenever I meet with young people, my most important advice is to find something you care deeply about, find something that excites you and put all your energy into it,” he said.

He added: “Because the path for everybody is different. People sometimes think that to be a leader, you have to make great speeches or you have to be in politics. But there are a lot of ways to lead. Some of the greatest leaders are people who are behind the scenes.”

“You have to feel passionate about something. And one of the things that I always tell young people is don’t worry so much about what you want to be, worry more about what you want to do. And what I mean by that is if you’re passionate about your work then naturally, over time, you are going to rise, and people will admire and respect what you’ve done.”

The President went on: “When I finally stopped fooling around and I wanted to get serious, what I decided was I wanted to help people in low-income communities, poor people, have opportunities. So I went to work in poor neighborhoods in Chicago.”

“And because I was interested in the work, I started asking the question, OK, how can I get more education dollars for these communities, how can I get better housing built in these communities. That was when I became aware of how politics works and I started asking more questions about how I could get more influence and how I could build an organisation that could potentially deliver the things that I was interested in.”

Environmental protection

In reply to a question about protecting Vietnam’s famous Son Doong cave, Obama said that “one of the greatest things about your generation is that you are already much more conscious about the environment than my older generation or previous generation and that it is really important.”

But he also warned: “The well-being and the health of your people and everyone around the world are going to depend on how we deal with some of these environmental relationships.”

“So it is not entirely fair to say a country is developing now, you have to stop because of climate change,” he said. “If a country like Vietnam or China or India took the same developing path that the West did, we would all be under water because the climate is going to warm up so quickly and the climate patterns are going to change. The terrible consequences could actually impede development rather than advance development.”

YSEALI in the future

Obama said he expected that the next president would continue working with YSEALI.

“We have a young African leaders program. We have in our homeland an American version. We’ll bring key leaders from each area so they can learn. I hope that the State Department will continue this program,” he said.

Small countries banding together

In reply to a question about hydropower dams on the Mekong River and how the governments of theMekong region can work together to sustain economic and environmental interests, Obama said that, through the Asean and East Asia summit, a Mekong Delta Working Group of all the countries affected was created.

“Through our State Department and various programs, we’re working to help them plan and create sustainable development across countries,” he said.

“Now you’re right that one of the big challenges is how to deal with water resources and the building of dams and hydropower. That’s not a problem that’s unique to the Mekong Delta. So, what we’re going to try to do is to continue to work with the affected countries and provide them with technical assistance and evaluation of what needs to happen, what they need to watch out for.

“And hopefully, that information is power, and that information can then be used for negotiation on an international level to try to prevent some projects that might have very bad effects,” he added.

He continued: “One of the things that we’ve seen in Asean is, when small countries band together as a unit, their power is magnified. That’s true on economic issues, that’s true on environmental issues, that’s true on security issues. And we’ve seen since I became President, I think, a greater willingness of the Asean countries that do more substantive work.”

Recognising talent

Another topic that Obama addressed was the vital importance of rewarding talented people and offering them opportunities for growth.

“The best way to retain talent in any country is to make sure that talent is rewarded. And the way to reward talent is to have a strong rule of law, to have a good education system, have the ability to start a business relatively easily, make sure that government policies, when it comes to taxation or when it comes to building infrastructure, that those policies are good ones, so that people feel as if by staying here, this is the best place for them to make it.

“People usually don’t want to leave their home countries if they feel like they had opportunities in their home countries. Usually, they end up leaving if they feel as if they’re stuck in their home countries,” he said

“So one of the benefits of the TPP is that it’s going to lead to the government taking a series of legal reforms that I actually think will create better businesses environment, and that means for young talented people like you, there is no reason to leave because you’re going to be in a position to do great things here in Việt Nam,” he added.

Businesses have poured more than 100 billion yuan (US$15.27 billion) into the Laos-China Boten-Mohan border economic cooperation zone, lured by investment incentives offered by the governments of both sides, the latest data shows.

In September last year, the governments of Laos and China signed an agreement to establish the economic cooperation zone at the Boten-Mohan cross-border area, aiming to boost trade, investment and tourism in the region.

Authorities in charge of the zones expect that even more investment will be forthcoming if certain issues are addressed. These are mainly visa facilitation for businesspeople and better transportation, which should materialise when the planned Laos-China railway is operational.

So far, more than 60 investment projects amounting to 100 billion yuan have been signed for operation in the Yunnan Xishuangbanna Mohan Economic Development Zone, according to information from the authorities in charge.

Located at the Mohan Border Port, which is China’s gateway to Laos and provides access to Southeast Asia’s most convenient land route, the zone has significant investment potential, said deputy head of the committee in charge of the Yunnan Xishuangbanna Mohan Economic Development Zone, Ai La Xiang.

He made the comment during a media visit to the Mohan Border Port Office, which was part of a one-week media tour to Xishuangbanna prefecture from May 7-13 organised by the Yunnan Daily Press Group.

The zone’s focus is on building a logistics base, processing base and modern services base in four areas, with emphasis on the Yunnan Mohan Port International Logistics Park, Mohan warehousing logistics base, the State Grain Reserve Depot strategy, Vegetable Association base, mahogany market, mineral products trading centre, cross-border market, cross-border tourist resort, the old duty-free shops, hotel, and other projects.

Meanwhile, the Boten Specific Economic Zone in Luang Namtha province has attracted more than 10 billion yuan in investment from more than 10 companies, mostly from China, Logistics Deputy General Manager of the Lao Boten Economic Zone Development and Construction Group, Mr Kangpeng, said.

“The Lao government has extended sound support for the operation of the Boten Specific Economic Zone as a cooperation project between Laos and China,” he said as translated by an interpreter.

However, he called for authorities on both sides to consider granting multi-entry visas or visa exemptions for investors doing business in the 16.4 square kilometre Boten Specific Economic Zone, saying that business operators have encountered difficulties in having to apply for visas repeatedly.

He explained that only residents of Xishuangbanna are allowed to use a border pass when crossing into Laos, while residents of other parts of China need a passport and a visa.

Kangpeng said he believed that once the visa issue was addressed, it would help to attract more Chinese investors to the zone.

Investment promotion at the zone focuses on four mega projects including a duty free centre, complex bus station, a warehouse and a resort that comprises a large natural marsh, a hotel, meeting hall and leisure facilities. Business operators in these zones enjoy tax exemptions, which are a big investment incentive.

Businesses and officials on both sides said they believed that once the planned railway linking China to Southeast Asian countries via Laos is complete, it will significantly boost investment in the zones where the railway will pass through.