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APEC ministers search ways for infrastructure development
CEBU. Philippines. Apr 5: Top economic officials from the world's fastest growing region searched today for ways to finance the huge infrastructure investments needed to prolong their economic success, reports AP
The finance ministers from the 18-natiOn Asia-Pacific Economic Cooperation forum estimate that 1.5 trillion dollars will be needed for infrastructure projects such as roads, airports and water supplies in the region over the next 10 years.
APEC "is embarking today on perhaps the biggest infrastructural buildup the world has ever seen." Philippine Finance Secretary Roberto de Ocampo told the group.
The ministers, holding their annual meeting this weekend in the Philippine resort city of Cebu, hope to help solve the problem by encouraging more private-sector Investment in infrastructure projects. They also hope to attract more money by stimulating freer Hows of capital in the region and strengthening financial and capital markets.
Currently, only about 10 per cent of the money for infrastructure projects in Asia comes from private sources, according to the Asian Development Bank.
"The challenge is formidable," Philippine President Fidel Ramos said.
But he said the Philippines
has found the private sector can be a "powerful ally" of government through innovative financing and operating sche-
Private companies are building and operating power plants and highways in the Philippines. and the country has recently chosen two private groups to operate Manila's water system.
Despite a moderate slowdown in some countries. APEC once again was the world’s fastest growing region in 1996. International Monetary Fund Managing Director Michel Camdessus told the ministers. He called the outlook for the region very positive.
More than most regional groups. APEC is remarkably di
verse, both economically and culturally. It has members on both sides of the Pacific ranging from poor nations such as Papua New Guinea and the Philippines to the world's two richest. Japan and the United States.
APEC has already played a leading role in the growing integration of world capita) markets. with its developing members attracting more than half of all capital flows to the world's developing countries, according to the IMF.