Simon TayandSarah Loh

Opinion | Covid-19: ready or not, Asean nations must reopen, reconnect and reform

With government finances stretched, there is an increasing recognition that the region can no longer afford economy-crippling restrictions and must return to trajectories that stimulate growth

While the region’s pre-pandemic potential remains, reforms are needed to boost efforts to move up the value chain

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Simon TayandSarah Loh

Published: 9:15am, 23 Nov 2021

Key Asean members are moving to restart their economies and open borders, in sharp contrast to shutdowns that tried to address the surges in Covid-19 caseloads from May to September from the highly infectious Delta variant. Asean initiatives also differ from mainland China, Hong Kong and other economies that are keeping borders closed and aiming for zero cases.

Activity and growth in the Association of Southeast Asian Nations are expected to rebound appreciably in the coming months. But, alongside the opportunities, real risks lie ahead. Not all countries have made the necessary preparations, and some are moving ahead more out of necessity. Infections could grow markedly after reopening, as is being seen in Europe now.

Some countries are also experiencing political and social strains that might cause further instability. Yet, fully ready or not, Asean governments must not only reopen but reconnect with each other and undertake reform.

No one should understate the human and economic costs of these past few months across the region, which has recorded over 13 million Covid-19 cases since the start of the pandemic, in contrast to the region’s relatively good pandemic management record in 2020.

Indonesia has been the epicentre of the crisis with over 50,000 daily cases reported in July. Similarly, while Thailand and Vietnam were able to keep their infection rates low in 2020, numbers have skyrocketed in 2021.

However, by October, daily caseloads have plateaued across the region as vaccination programmes accelerated. This continues to be a work in progress, especially in countries with larger populations, such as Indonesia, Vietnam and Thailand.