AEC Scorecard:

The Road to ASEAN Single Market

Aladdin D. Rillo

Macroeconomic and Finance Surveillance Office (MFSO)

ASEAN Secretariat

Conference on Network of Reformers

4 February 2011

Mombasa, Kenya

Building an ASEAN Economic Community

� Endorsed by ASEAN Leaders in 2003, the AEC is the end-goal

of regional economic integration

� Characteristics of the AEC: single market and production base, Characteristics of the AEC: single market and production base,

competitive region, region with equitable development,

integrated in global economy

� General framework for the AEC is the AEC Blueprint, whose

implementation is monitored through the AEC Scorecard

AEC Scorecard: objectives

� AEC Scorecard was developed based on similar initiatives such

as the EU Internal Market Scorecard

� AEC Scorecard is aimed at identifying specific actions that AEC Scorecard is aimed at identifying specific actions that

must be undertaken by ASEAN collectively and its Member

States individually to establish AEC by 2015

� Currently the AEC Scorecard is only a compliance tool, and not

for impact assessment

AEC Scorecard: components

� Provide qualitative and quantitative indications of

implementation of ASEAN agreements within the timeframes

specified in AEC Blueprint

� Track implementation of measures and achievement of

milestones under AEC Strategic Schedule

� Statistical indicators on ASEAN Economic Community

AEC Scorecard: structure

Implementing the AEC Scorecard (1)

� Implementation of Scorecard is monitored in four phases

(2008-09; 2010-11; 2012-13; 2014-15). In calculating the

implementation rate, a simple scoring method (“yes” for full

implementation; and “no” for not fully implemented) is usedimplementation; and “no” for not fully implemented) is used

� A measure is considered implemented only when all ASEAN

Member States have implemented the said measure or all

activities under the said measure are fully implemented

� Timeline for reporting of Scorecard: every 30 June and 31

Dec of each year; different types of Scorecard

Implementing the AEC Scorecard (2)

Score Category Definition Colour Indicator

YES Fully implemented Implementation rate = 100% Green

On-goingTarget date not yet passed, and

implementation rate < 100%Beige

NO

On-goingimplementation rate < 100%

Beige

Not fully

implemented

Target date passed and

implementation rate < 100%Red

Not yet

commenced

Target date passed and

implementation rate = 0%Purple

Implementing the AEC Scorecard (3)

BR CAM ID LAO MY MM PH SG TH VN RemarksAEC Measures

A1. Free Flows of Goods

(1 January 2008 - 31 December 2009)

Status of Measures to be Fully Implemented by all ASEAN Member States

N/A N/A N/A N/A Indonesia expects the full NSW to be ready by

December 2010. Brunei, Malaysia and

Thailand are in various stages of

implementation of their NSWs.The Philippines

has launched her NSW in May 2010. Viet Nam

has established the Master Plan on NSW and

has activated working groups on NSW.

• Operationalise National Single Window (NSW)

A1. Free Flows of Goods

ASEAN Single Window

Implementing the AEC Scorecard (3)

Implementation Rate: 2008-2009

AEC Scorecard: pending issues

� Need to address appropriate scoring method; e.g., no weight

is applied to measures

� Measurement problem: some measures are not measurable � Measurement problem: some measures are not measurable

(not outcome-based); requires further breakdown of measures

� Since the Scorecard does not give impact assessment, two

different tracks are needed (Track I: “official” scorecard and

Track II: “analytical” scorecard)

Thank You

For further questions please contact

Aladdin D. Rillo, ASEAN Secretariat Jakarta

aladdin@asean.org