열린장관실

Sept. 10, 1999 Auckland, New Zealand 。

As APEC celebrates its first decade and plans for the next, I believe strengthening market functions is a most effective way for APEC to calibrate its efforts to build a prosperous and harmonious Asia-Pacific and ensure its leading role in the advances toward global economic integration. I thank the current Chair, New Zealand for choosing such a timely and worthy theme for all of us to work together on. 。

An obvious but key lesson of the economic crisis in Asia has been that the market economy cannot enjoy sustained prosperity without the markets carrying out their functions fully and openly. Indeed, the fundamental cause of the crisis in Korea was that the markets had been distorted and weakened, by practices and mind-sets that broke, bent or went around market rules. In short, we did not have a genuine market economy. Our assiduous efforts at economic restructuring are aimed at rectifying the situation. 。

Externally, to strengthen markets means to open up in trade and investment. The result can be painful in the short-term. But in the long-run, the benefits far outweigh the pains. It is the proven way to strengthen interdependence, coprosperity, and sense of community. 。

In this regard, APEC's liberalization activities should be given new meaning and thrust, especially with the goal of strengthening the WTO rules in the upcoming new round. Korea will continue to be an active participant in this area. 。

Internally, to strengthen markets means primarily to ensure private sector autonomy and minimize government intervention and control. The government's role should be limited to setting the grounds rules for fair competition to take place in the markets, and making sure that the rules are adhered to. It also means resisting protectionism and bringing business practices and rules to meet international standards of transparency and accountability with better exit procedures and legal safeguards. 。

Thus, the restructuring to overcome the crisis and build the foundation for Korea's sustained growth has been to further open up in trade and investment and to establish a new set of rules. To enable the markets to function the way they should is to bring out the best in private initiatives through fair competition in the free market of ideas, goods, services, and capital. 。

The nascent recovery in Korea and other countries of the region is, I believe, a reflection of the strengthened market mechanisms resulting from the reforms. But there is still much that should be done to strengthen markets, and the reforms in Korea and elsewhere should continue. 。

In this regard, we welcome the adoption of the non-binding principles to enhance competition and deregulation in APEC. By the same measure, we welcome the proposals made by many member economies: New Zealand's Public Sector Management Initiative, Australia's Trade Facilitation Initiative, and Japan's Market Strengthening Package. We also welcome the Forward Work Programme contained in the SOM Chair's paper on Strengthening Markets. We look forward to their further development, and will actively participate in future discussions on concrete ways for their implementation. 。

A community is defined by shared rules that nurture shared behavior patterns and expectations among members. Strengthening markets and shared market rules should be an effective way for APEC to turn its dream of community, nurtured during its first ten years, into reality in the next ten and beyond. Strengthening the functions of markets should be a key APEC agenda for many years to come.

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2001-10-26, 지역협력과, 곽태열, 02-738-4380, rcd@mofat.go.kr