HIS MAJESTY the Sultan of Perak Sultan Nazrin Shah has urged ASEAN to ensure that economic development in the region remains inclusive and equitable, cautioning that growth without inclusion risks widening social disparities and eroding public trust in institutions.
“Economic growth must be comprehensive and fair, continuously benefiting all segments of society, from major cities to smaller towns and rural communities.
“At the same time, we must strive to ensure that growth strategies do not compromise the beauty of our environment or worsen the escalating global warming crisis,” he said in a royal address at the inaugural ASEAN Inclusive Growth Summit 2025 today.
The Sultan emphasised that inclusive development should meet the needs of citizens without jeopardising the welfare of future generations, highlighting the importance of regional stability, unity, and institutional legitimacy.
“Good governance is the foundation of inclusive growth because integrity and accountability are vital in strengthening public trust in leadership,” he said.
He noted that citizens across ASEAN increasingly demand transparency and fairness, which should be seen not as a challenge but as an opportunity to reinforce leadership.
Sultan Nazrin also referenced Malaysia’s own reforms in procurement, public finance, and digital service delivery as initiatives that bolster trust between citizens and institutions.
“The same applies across the region, from open data initiatives that improve public oversight to budgetary processes that allow citizens to contribute to decision-making. Just like economic growth, governance must also be inclusive.
“When it is, trust is cultivated, creating legitimacy, stability, and confidence to invest and innovate,” he said.
On the role of finance, His Majesty called for ethical practices to drive inclusivity and shared prosperity, urging businesses to adopt the triple bottom line—people, planet, and profit.
He highlighted Islamic finance as a value-driven model, representing more than 40 per cent of Malaysia’s financial system, and exceeding USD 5 trillion globally.
“Islamic finance links capital with purpose, encouraging investment in productive enterprises and discouraging speculation and exploitation,” he said.
However, Sultan Nazrin warned that millions in ASEAN still lack access to financial and digital services, with almost 200 million adults unbanked and rural broadband coverage lagging behind urban areas. He stressed that a strong economy cannot exist separately from citizens’ welfare and that economic gains must translate into tangible social progress.
He also emphasised digital transformation as a potential driver of inclusivity but cautioned that unequal access and insufficient digital literacy could deepen inequality.
Sultan Nazrin highlighted the importance of building digital trust through robust cybersecurity, data privacy, and responsible governance of emerging technologies, including artificial intelligence.
Urging regional unity, the Sultan said ASEAN’s diversity is a strength that must be nurtured, with inclusive growth ensuring all voices are given equal opportunities to flourish.
Between 2015 and 2024, ASEAN’s GDP grew at an average annual rate of 3.9 per cent, while per capita GDP rose by three per cent despite COVID-19 disruptions. Today, the region, home to nearly 700 million people, has a combined GDP approaching US$4 trillion.
Meanwhile, Timor-Leste’s Prime Minister Kay Rala Xanana Gusmao arrived in Malaysia ahead of the 47th ASEAN Summit, expressing anticipation for Sunday’s announcements. “Of course, I came for this,” he said when asked by reporters.
The early arrival underscores Timor-Leste’s commitment to regional engagement as it prepares for full ASEAN membership.
The country first applied in March 2011, nearly a decade after gaining independence in 2002, and has since worked to meet the political, economic, and administrative criteria for membership.
ASEAN leaders recognised Timor-Leste as the 11th member in 2022, granting observer status, and approved a roadmap for full membership in 2023. Earlier this month, Prime Minister Datuk Seri Anwar Ibrahim confirmed that Timor-Leste would officially join ASEAN on 26 October.
“I am very optimistic that ASEAN as a community will continue to assist, just as we ourselves have received support from many countries, including Western nations and China. I do not think we should deny Timor-Leste that opportunity,” Anwar said.
The 47th ASEAN Summit and related meetings, to be held from 26 to 28 October under Malaysia’s chairmanship with the theme “Inclusion and Sustainability,” are expected to be the largest gathering in ASEAN history, providing a critical platform to strengthen cooperation in addressing regional and global challenges comprehensively and inclusively. - October 24, 2025
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