Albanese Government looks to woo CEOs at ASEAN-Australia summit by making business investment and travel easier

Australia will offer billions of dollars in loans to spur investment in Southeast Asia and make it easier to do business in the region under a plan to triple trade to the lucrative markets by 2040.

Australia will offer billions of dollars in loans to spur investment in Southeast Asia and make it easier to do business in the region under a plan to triple trade to the lucrative markets by 2040.

As Anthony Albanese and his senior ministers look to woo CEOs and leaders gathered in Melbourne for the ASEAN-Australia Special Summit this week, the federal government is also seeking to strengthen ties with regional allies to protect freedom of navigation in the South China Sea where Beijing is making contested territorial claims.

The Prime Minister met with his Malaysian counterpart, Ibrahim Anwar, in Melbourne on the sidelines of the summit on Monday where the two countries agreed to co-operate more on education, managing cyber threats and maritime issues.

The meeting occurred just days before the 10-year anniversary of the disappearance of MH-370, and Mr Albanese said his thoughts were with the loved ones of the Australians who died on the missing plane.

“We acknowledge at this time the ongoing grief for loved ones, and deeply regret that the aircraft has been unable to be located, despite the extensive searches which took place in the southern Indian Ocean,” he said.

Malaysia's Prime Minister Anwar Ibrahim introduces Australia's Prime Minister Anthony Albanese to the Malaysian delegation during the Australia-ASEAN summit in Melbourne. Picture: William West/ AFP

Mr Anwar said if there was compelling evidence, Malaysia would “certainly be happy to reopen” the search efforts saying “whatever needs to be done must be done”.

Asked about Australia’s efforts to bolster its defence forces in the face of Beijing’s huge military build-up, Mr Anwar insisted Malaysia was a “fiercely independent” nation who did not want to be “dictated (to) by any force”.

Foreign Affairs Penny Wong addressed China’s aggression in the South China Sea in her keynote speech at the ASEAN-Australia summit. Picture: Asanka Ratnayake/Getty Images

Speaking to the Maritime Cooperation Forum at the summit on Monday, Foreign Minister Penny Wong reiterated Australia’s support for “open lines of communication” between the US and China, and welcomed the recent resumption of talks between the leaders and military of both nations.

“We must also commit to preventive architecture to increase resilience and reduce the risk of conflict through misunderstanding or miscalculation,” she said.

In a pointed reference to Beijing’s territorial disputes, Ms Wong said many nations in the region relied on oceans, seas and rivers for their livelihoods and commerce, “including free and open sea lanes in the South China Sea”.

In a speech to 100 CEOs on Tuesday, Mr Albanese will announce a range of initiatives including a $2 billion Southeast Asia Investment Financing Facility to fund loans, equity and insurance to boost Australian trade and investment in the region.

He will also commit $140m to extend a partnerships program for building infrastructure in southeast Asia, and launch two region “landing Pad” – one in Jakarta and one in Ho Chi Minh City – to provide Australian businesses on-the-ground support to invest in Indonesia and Vietnam.

To encourage more business travel between Australia and southeast Asia, the validity of business visas from the region will be extended to five years, up from three.

Mr Albanese will tell the CEOs Australia has “a huge amount to offer” the region.

“We want to do more – to support regional growth and to realise mutual benefits,” he will say.

“To deepen our ties and to boost the skills of our people.”

Trade Minister Don Farrell will speak to CEOs at the summit on Tuesday. Picture: Kent Nishimura /Getty Images via AFP

Trade Minister Don Farrell will also address the CEO Forum, telling business leaders Australia’s economic future lies with Southeast Asia.

“We are still yet to grasp the full potential of our trade and investment relationship,” he will say.

“Despite its size, growth and proximity, Southeast Asia only receives around 13 per cent of our total exports.

“If we can strengthen our economic relationship and achieve growth of 6.3 per cent year on year, our trade could triple – to over $530 billion by 2040.”

Treasurer Jim Chalmers will speak with a group of investors involved in both Australia and ASEAN countries, saying “we want to get a bigger slice of that action”.

Business Council of Australia chief executive Bran Black said there were significant economic opportunities for Australian businesses and the CEO forum provided an opportunity to boost connections and deliver more jobs.

“The BCA looks forward to playing a bigger role across our region, facilitating more business-to-business engagements that increase trade and employment opportunities and the Summit’s CEO Forum is integral,” he said.

“It is also vital we use these partnerships to strengthen our supply chains across the region, particularly as we transition to clean energy and net zero.”