Kuala Lumpur: An economist has called for ASEAN country members to focus more on sustainable development as a group, integrating economic growth with technological advances and social inclusion. Jeffrey D Sachs, a world-renowned economics professor at Columbia University, emphasized the need for a collective approach towards sustainability during the ASEAN Workshop on Sustainable Development (AWSD) 2025.
According to BERNAMA News Agency, Sachs highlighted that the new economy should aim to be environmentally sustainable. This involves transforming the energy system to rely on low- or zero-carbon technologies, shifting the transport system towards electric vehicles, transitioning the shipping industry towards a hydrogen-based economy, and embracing digital transformation.
Sachs suggested that achieving sustainable development as a group within ASEAN would be more effective than individual efforts. "As a group, the ASEAN countries have a large market. They will generate more investment opportunities and use the connectivity of transportation, power, and digital to enhance regional competitiveness," he noted.
With Malaysia's chairmanship of ASEAN this year, Sachs expressed hope that ASEAN would set clear approaches to regional connectivity and strategies for a green, digital, artificial intelligence-empowered future economy. He pointed out ASEAN's strong interconnections with China and its global trade connections, including with the Middle East, Europe, Africa, and Latin America, as crucial to these efforts.
Sachs mentioned the importance of upcoming regional summits between ASEAN and other global regions, which he described as promising. However, he also reminded that such changes are long-term investments requiring longer-term planning, financing, and cooperation.
In discussing the BRICS group, Sachs identified it as a significant dynamic capable of addressing global issues like protectionism and aggressive US threats. He noted that BRICS, which includes fast-growing economies like China and India, aims to create an alternative to the dollar-based finance system, ensuring uninterrupted trade and investment.
Sachs concluded that while ASEAN remains a vital home for Malaysia, BRICS membership offers another important avenue for Malaysia's development, given that Thailand, Indonesia, and Malaysia are all part of the BRICS group.