BANGKOK. Mar 2: Asian and European leaders agfeed today on the "urgent need" to boost European investment in Asia while simplifying and improving customs procedures as well as product standards, reports AFP.

The inaupiral -summit, grouping leaders of 23 countries. recognised the great potential for synergy between Asia and Europe." Thai Prime Minister Banharn Sllpa-Archa said in a statement prepared for the close of the conference.

The chairman's statement, summarising the two-day meeting, noted the "economic dynamism and, diversity” of the two regions.

“Asia's emergence as an immense market has spawned great demand for consumer goods, capital equipment, financing and infrastructure. Europe, on the other hand, is a major market in the world for goods, investments and services. even more so since the completion of the single market.

"Opportunities thus exist for both regions to expand the market for goods. capital equipment and infrastructure development projects, and to increase the flows of capital, expertise and technology.' the statement said.

The meeting also recognised that growing economic links from the basis of a "strong partnership between Asia and Europe’’ which should be further strengthened by increased trade and investment between the two regions.

Such a partnership should be based’ on the "common commitment" to the market

economy, open multilateral trading system, non discriminatory liberalisation and open regionalism.

"Any regional integration and cooperation should be WTO (World Trade Organisation) consistent and outward looking." the statement ' stressed.

Asia and Europe should "complement and reinforce efforts to strengthen the open and rules based trading system embodies In .the WTO.” it said, adding that "full participation" would strengthen the world trade body.

The two regions jwlll "work closely together towards the success of the WTO" and agree that full implementation of commitments made in the Uruguay Round of global trade talks is one of the priorities.

"Participants also underlined the urgent need to bring unfinished Uruguay Round negotiations to a successful conclusion and to pursue the so-called built in agenda greed to at Marakesh," it said, referring to the meeting of world trade . ministers almost two years ago which adopted the accord.

The meeting also agreed to "undertake facilitation and liberalisation measures Involving ttie simplification and improvement of 'customs procedures and standards conformance" to promote greater trade and investment.

Asia and Europe will also alm for the reduction of trade barriers to avoid trade distortion and create market access," the statement said.

The meeting also underscored the urgent need to increase European investments in Asia from their present low

levels. as well as to encourage Asian investments in Europe." it said.

S’pore offers $ Im to help set up foundation

Another report adds: Singapore Prime Minister Goh Chok Tong Friday offered one million US dollars to help set up an Asia-Europe foundation to facilitate exchanges between the two regions?

The proposal, made during the first day of the Asia-Europe (ASEM) summit in Bangkok, drew favourable reactions from several participants although no one else offered any immediate financial contribution

A Thai spokesman said fellow summit participants backed the Singapore proposal for a foundation "to mobilise ideas, concepts" and to "promote dissemination of news and information and know-how."

Thailand would like to encourage o'ther ASEM members to follow suit In providing financial backing' "to kick off this programme." the spokesman said.

Summit delegation officials said the foundation, which could be sited in Singapore, would promote cultural, scientific and technological exchanges as well a$ research.

French President Jacques Chirac described ‘the initiative as "very important and very interesting," a French spokeswoman said. ,

Goh also proposed an Asia Europe university exchange programme to enable the younger generation on both continents to get better acquainted and forge long term ties, the spokeswoman said.