a new strategy to guide future progress on asean connectivity 4. The vision for the ASEAN Connectivity 2025 is to achieve a seamlessly and comprehensively connected and integrated ASEAN that will promote competitiveness, inclusiveness, and a greater sense of Community. 5. MPAC 2025 will focus on five strategic areas to achieve this vision: i. Sustainable infrastructure. The aim of this strategy is to coordinate existing resources to deliver support across the full life cycle of infrastructure projects in ASEAN, including project preparation, improving infrastructure productivity, and capability building. This strategy also includes exchanging lessons on “smart urbanisation” models across ASEAN Member States that can simultaneously deliver economic growth and a good quality of life. ii. Digital innovation. Digital technologies in ASEAN could potentially be worth up to US$625 billion by 2030 (8 percent of ASEAN’s GDP in that year), which may be derived from increased efficiency, new products and services, etc. Capturing this opportunity requires the establishment of regulatory frameworks for the delivery of new digital services (including data management and digital financial services); support for the sharing of best practices on open data; and equipping micro, small and medium enterprises (MSMEs) with the capabilities to access these new technologies. iii. Seamless logistics. Enhancing ASEAN Connectivity presupposes excellent logistics. However, logistics efficiency has not improved at the pace originally envisaged by MPAC 2010, as measured by the length of time taken and cost of transportation in the region. One of the underlying challenges is coordination issues between government departments and a lack of sharing of best practices. There is the opportunity to create mechanisms to support greater collaboration between logistics firms, academic institutions, and ASEAN Member States: this would help to identify bottlenecks across key areas of the region’s supply chains; collect and share best practices about how to tackle those issues across the region, and identify critical policy areas requiring attention. iv. Regulatory excellence. There is a need to embed good regulatory practice (GRP) in the preparation, adoption, and implementation of rules, regulations, and procedures in the region. The aim of this strategy is to support implementation of key policies critical for the ASEAN Connectivity agenda, particularly focusing on standards harmonisation, MASTER PLAN ON ASEAN CONNECTIVITY 2025 9

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