Coauthored with Darwin Marcelo Gordillo, Infrastructure Economist at the World Bank Group and Ruth Schuyler House, Consultant, the World Bank Group
Given the current slowdown of the Chinese economy, many are trying to predict the impact on the world’s economy as well as the regional trickledown effects. Countless developing countries are focused on building ties with large-scale, global economies like those of the U.S., OECD, India, and China. But perhaps it’s time to consider what role enhanced regional integration can play -- not only as a way to enhance connectivity with larger markets, but also as an important risk management measure to protect countries’ economies in the event of economic downturns in the world’s larger markets.
This sort of regional integration can be accomplished by better connecting infrastructure such as roads, rail, and maritime routes – sectors that are good candidates for public-private partnerships (PPPs). This could bring benefits to Southeast Asia, the part of the world we work in, as well as many other regional economies.