State of the Region 2021

On behalf of the members of the Pacific Economic Cooperation Council (PECC), it is our pleasure to present our fifteenth annual report on the State of the Region.  The State of the Region report is a product of a taskforce established by the governing body of PECC. While efforts are made to ensure that the views of the PECC members are taken into account, the opinions and the facts contained in this report are the sole responsibility of the authors and editorial committee and do not necessarily reflect those of the member committees of PECC, nor their individual members.

Download:  State of the Region Report 2021

CONTENT

MESSAGE FROM THE CO-CHAIRS OF PECC

EXECUTIVE SUMMARY  

CHAPTER 1: ASIA PACIFIC ECONOMIC OUTLOOK 

Prospects for Growth 
- Forecasts 
- Risks to Growth 
- Concerns Over Future Waves of Covid-19 
- Debt Servicing .
- Climate Change as a Risk to Growth
- Lack of Political Leadership
- Increased Protectionism and Slowdown in Trade Growth
- Inflation as a Risk to Growth 
- Need for Balance 

Priorities for Dealing with Covid-19 and Its Consequences
- The Scope and Pace of Vaccination 
- Protocols to Facilitate the Safe Movement of Supply Chain Workers
- Common Standards for Travel 
- Donations of vaccines to developing economies through Covax 
- Mechanisms to enhance visibility on input supplies for Covid-19 vaccines 
- WTO Agreement on Trade and Health
- TRIPS Waiver & Voluntary Licensing Agreements 

Priorities for APEC Leaders’ Meeting  

CHAPTER 2: CLIMATE CHANGE: FROM AMBITION TO ACTION

1. Executive Summary 

2. Paris Agreement: Nationally Determined Commitments
    a. NDCs: varying ambitions among parties 
    b. Comparing Emission Reduction Targets 
    c. Assessing the Potential for Achieving NDCs among APEC member economies 

3. Carbon Markets, Carbon Prices and Carbon Trade Border Adjustments 
    a. Global Integrated Assessment Models and the Social Cost of Carbon 
    b. Market Based Instruments vs. Discretionary Instruments 
    c. Existing Carbon Pricing Schemes and Trends
    d. Carbon Leakage and Carbon Border Adjustments 

4. Green Finance 
    a. Progress towards the $100 bn target
    b. Definitions of Green Finance 
    c. Green Finance Standards 
    d. CSR and ESG in Green Finance
    e. Central Banks and Multilateral Financial Institutions’ Role in Green Finance 

Concluding Thoughts

CHAPTER 3: INDEX OF ECONOMIC INTEGRATION IN THE ASIA-PACIFIC*

ANNEX: RESULTS OF ASIA-PACIFIC POLICY COMMUNITY SURVEY