Your Excellency Prime Minister Thaksin Shinawatra
Ladies and Gentlemen
I have visited Thailand seven times since 1990. Each time, your Government has extended to me your most gracious Thai hospitality. My visit today has been no exception. General Chavalit kindly received me at the airport this morning. In addition to hosting this wonderful dinner for my delegation and me, Your Excellency will be taking precious time off to bring me to Chiang Rai.
Thank you for this very warm welcome.
Your Excellency
Much has happened since my last visit two years ago. September 11 transformed the international political and security environment. The discovery of terrorist cells in Singapore, Malaysia and the Philippines underlined the fact that terrorism has stretched its tentacles to our region. The good news is that China has joined the WTO, presenting us with many opportunities. A New Round of multilateral trade negotiations has also been launched.
I am personally persuaded that in order to address more effectively these challenges, we must co-operate more closely, bilaterally and in the context of ASEAN.
ASEAN has a population of 500 million. We should turn this large number to our advantage, by creating a huge, integrated market within ASEAN. This will enhance the attractiveness and competitiveness of our individual economies. As separate entities, we cannot compete effectively against giants such as China and India. But as a united and integrated ASEAN, we can. Investors and businesses will find it hard to overlook us. This is why we must implement quickly the Roadmap for the Integration of ASEAN (RIA) endorsed by the ASEAN Summit last year. RIA will pull together all aspects of ASEAN co-operation and integration.
However, given the wide scope of RIA, it will take some time for ASEAN as a whole to realise the goals in all the different areas. To speed up the process, individual countries can jointly identify mutually beneficial opportunities in RIA and work on them bilaterally. Such bilateral co-operation will help push forward the implementation of RIA. Our two countries, for example, should explore the possibilities in this area.
Indeed, Singapore and Thailand have traditionally been close economic partners, and there are areas of strong complementarity. Singapore is ThailandA?s third largest trading partner, just behind Japan and the US. Bilateral trade reached nearly 380 billion baht last year. Thailand is also an attractive investment destination for Singapore companies. With 33.6 billion baht worth of direct investment inflows from January to November 2001, Singapore has become Thailand's second largest source of new foreign direct investment, after Japan. Singapore has also invested 10.2 billion baht in Thai equity over the same period.
I hope our two countries can leverage on our complementarity to create greater synergy. For example, Singapore and Thailand could jointly identify and develop industries where we complement each other, such as agriculture, tourism and logistics. This will bring us mutual benefit. This is why Singapore has proposed the Singapore-Thailand Enhanced Economic Relationship, or STEER. STEER is the enhancement of the economic leg of our Singapore-Thailand Enhanced Partnership, or STEP. It will lend a more substantive structure and greater focus to our bilateral economic co-operation.
I would like to use a golf analogy to show how we can co-operate. Some golfers have a long drive, but cannot putt well. Others may be strong in the short game, but are short in their drives. If they play individually against a pro, they would not be able to beat him. But if they play "Texas Scramble" as a team, they have a better chance. I hope Thailand and Singapore can play "Texas Scramble" as a team against other economic competitors.
I am pleased to note that non-economic bilateral co-operation is also progressing well. In November last year, my Foreign Minister came with a strong delegation for the 4th Coordinating Meeting of the Thailand-Singapore Civil Service Exchange Programme. Last month, our two air forces conducted a joint exercise - Cope Tiger - in Korat, together with the US air force. A group of senior Thai journalists visited Singapore last year for the inaugural Singapore-Thailand JournalistsA? Exchange Programme. I understand that a group of Singapore journalists will be reciprocating the visit soon. And since 1998, more than 60 Thai students have been accorded opportunities to study in Singapore, while a growing number of Singapore students visit Thailand on educational tours. All these exchanges help foster mutual understanding and friendship.
In the aftermath of 911, we should also co-operate more closely on security matters. Following the disruption of the Al Qaeda infrastructure in Afghanistan, I believe that this terrorist group would be looking towards Southeast Asia as a possible base to rebuild itself. Al Qaeda, and other militant groups in our region, have already built up a network of co-operation across our borders. Singapore and Thailand, therefore, need to work closely with our other ASEAN friends, to flush out these terrorists. The terrorists can do untold harm to our economies and societies.
Excellencies, Ladies and Gentlemen
The ties between our two countries have grown from strength to strength. Institutionally, the STEP has proved to be a valuable pillar of our bilateral relations. Personally, Prime Minister Thaksin and I, and our Foreign and Economic Ministers, have developed a high level of comfort and confidence in each other. I hope we can leverage on these two advantages to expand and deepen our friendship in the years to come.
May I now invite you to join me in a toast:
- to the good health of Their Majesties the King and Queen of Thailand;
- to the continued prosperity of the Kingdom of Thailand; and
- to a warm and enduring friendship between the governments and peoples of the Kingdom of Thailand and the Republic of Singapore.
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