Sultan Nazrin Calls On ASEAN To Ensure Economic Progress Remains Inclusive, Equitable

KUALA LUMPUR, Oct 24 (Bernama) -- The Sultan of Perak, Sultan Nazrin Shah, calls on ASEAN member states to ensure that economic progress across the region remains inclusive and equitable, as growth without inclusion risks widening social divides and eroding trust in institutions.

His Royal Highness said inclusive growth must benefit all levels of society, from those residing in capital cities to rural communities, while protecting the environment and future generations.

“Economic growth must continue to be broad-based and equitable, benefitting everyone, from our capital cities to smaller towns and rural communities. 

“At the same time, we must work harder than ever to ensure our growth strategies do not harm our wonderful environment or exacerbate the already escalating crisis of global warming,” he said in his royal address at the 2025 ASEAN Inclusive Growth Summit here today. 

Sultan Nazrin said inclusive development must cater to the needs of current citizens without compromising the ability of future generations to meet their own needs, adding that it is vital for stability, regional cohesion and the legitimacy of institutions.

His Royal Highness said good governance forms the foundation of inclusive growth, as integrity and accountability are crucial to strengthen public trust in leadership.

Sultan Nazrin said citizens across ASEAN are increasingly demanding greater transparency and fairness, and that such calls should not be viewed as a challenge to leadership but an invitation to deepen it.

He cited Malaysia’s ongoing reforms in procurement, public finance and digital service delivery as examples of initiatives that have helped to strengthen trust between citizens and institutions.

“Similar stories are unfolding across the region, from open data initiatives that enhance public oversight to participatory budgeting processes that bring citizens closer to decision-making. Like growth, governance can and must be inclusive.

“When it is inclusive, trust can grow, and with that comes legitimacy, stability and the confidence to invest and innovate,” he said.

On the role of the financial sector, Sultan Nazrin said ethical finance must drive inclusion and shared prosperity, calling for businesses to adopt the “triple bottom line” of people, planet and profit in their decision-making.

He said Islamic finance has been a proven model of value-based growth, as it now represents more than 40 per cent of Malaysia’s financial system assets and continues to expand.

He highlighted that globally, the industry has surpassed US$5 trillion (US$1 = RM4.22) and continues to grow by double digits annually, even amid global financial uncertainty.

“Islamic finance connects capital with purpose, encouraging investment in productive enterprises while discouraging speculation and exploitation,” he said.

However, Sultan Nazrin said millions within ASEAN remain excluded from financial and digital access, with nearly 200 million adults unbanked and broadband coverage in rural areas lagging significantly behind urban areas.

He said a strong economy cannot exist in isolation from the welfare of its people, stressing that economic gains must translate into tangible social progress.

His Royal Highness also touched on digitalisation, saying that the technological transformation can be a powerful driver of inclusion but warned that it can also deepen inequality if access and literacy fail to keep pace. 

He spoke about the importance of building digital trust through stronger cybersecurity, data privacy and responsible governance of emerging technologies such as artificial intelligence.

Calling for regional unity, Sultan Nazrin said ASEAN’s diversity is a strength to be nurtured and that inclusive growth must ensure all voices are given equal opportunity to prosper.

Between 2015 and 2024, ASEAN’s Gross Domestic Product (GDP) grew at an annual average of 3.9 per cent, and GDP per capita increased at an annual average of three per cent, despite the COVID-19 recession.

Today, said Sultan Nazrin, the ASEAN region, with a population of almost 700 million, has a combined GDP of nearly US$4 trillion.

The inaugural 2025 ASEAN Inclusive Growth Summit was held on the eve of the 47th ASEAN Summit and Related Summits held in Kuala Lumpur Convention Centre (KLCC) from Oct 26-28.

The summit is set to be one of the largest meetings in the bloc’s history, serving as a crucial platform to foster deeper collaboration while addressing regional and global challenges in a cohesive, inclusive manner.

This is the fifth time Malaysia has assumed the ASEAN Chair since the bloc’s inception in 1967, with the previous chairmanships in 2015, 2005, 1997 and 1977.

-- BERNAMA