FINAL EXAM ON

POLITICS AND GOVERNANCE IN SEA

1. Determine and discuss comprehensively the future of ASEAN amidst the pandemic and
globalization. 50pts

ASEAN was on course to become the world's fourth-largest economy. But then came
COVID-19. In the ASEAN region, the COVID-19 epidemic has created long-term
socioeconomic upheavals, exposing basic flaws and vulnerabilities in a variety of sectors.
Despite a more optimistic outlook for 2022 than the previous year, the region's economy
remains unstable, and many households continue to face significant income losses.
Traditional development engines including hospitality, tourism, transportation, and personal
services aren't projected to revive anytime soon.

A number of global challenges are also making it more difficult to make economic policy.
To begin with, significant job losses, the destruction of human capital, and bleak
manufacturing resources could leave the economy scarred. Second, the predicted tightening
of global interest rates, driven by the US federal funds rate, might exacerbate the global
economic recovery outlook. Third, the effects of climate change are still being witnessed.
The escalation of conflicts adds to the threats.

Thinking ahead, the outlook for Southeast Asia remains positive. Presently, we are
witnessing more initiatives around the area to rebuild better policies. As we continue to
strive to understand what our world will look like once the epidemic is gone, one thing is
certain: we can only hope for the "new normal," as business as usual is no longer an option.
Building stronger and more resilient communities is the only path ahead.  Improved social
assistance programs, more support for micro and small businesses, and increased
competitiveness and human capital are all ways to achieve this. We must foster a recovery
that not only supports growth and job creation but also protects the environment as we
rebuild from the pandemic's destruction.

Since the community's founding, effective collaboration among ASEAN member nations
has been a guiding principle. The pandemic, which knows no national boundaries, is
hastening the deployment of many of the region's ongoing plans and programs, which will
help the bloc become more integrated. ASEAN's connection and digital development
were also significant. ASEAN was quick to point out how supply chain and connectivity
interruptions might undermine economic recovery. There was a concerted effort to
coordinate on the flow of vital items, such as food, medications, and medical supplies, while
also strengthening the regional supply chains' resilience. ASEAN must strive to mitigate the
economic impact of the epidemic while also incentivizing environmentally responsible
investment. One of the five important goals for the community's rehabilitation efforts is
sustainability.

While the pandemic undermines worldwide economic operations and causes high
unemployment, Southeast Asian governments are under increasing pressure to protect
specific domestic interests at the expense of neighboring countries. If left unchecked, these
factors may eventually persuade authorities to erect new non-tariff barriers or engage in
new forms of protectionism, impeding future trade.

Nevertheless, easing economic recovery from the effects of COVID-19 is a difficult

undertaking. Significant obstacles remain while ASEAN has launched new steps to aid in
such a recovery. Despite the overwhelming uncertainty and the impending prospect of a
fresh wave of the virus, ASEAN countries must continue to collaborate and embrace an open
economic system to assist the region weather the crisis. Inward-looking and protectionist
approaches will only worsen the situation.