ASEAN-Korea Relations: Enhancing Development Cooperation1

ASEAN and ASEAN Foundation

The Association of Southeast Asian Nations or ASEAN was established on 8

August 1967 in Bangkok by the five original Member Countries, namely, Indonesia,
Malaysia, Philippines, Singapore, and Thailand. Brunei Darussalam joined on 8 January
1984, Vietnam on 28 July 1995, Lao PDR and Myanmar on 23 July 1997, and Cambodia
on 30 April 1999.

The ASEAN region has a total area of 4.5 million square kilometers. In 2007, it
had a population of about 576 million, a combined gross domestic product of around US$
1,282 billion, and a total trade of about US$ 1,405 billion. The diversity of the region is
apparent in the fact that the largest country in terms of land area is 2700 times larger than
the smallest country; the country with the largest population has 570 times more people
than the smallest country; and the richest country has a GDP per capita that is 160 times
the poorest country. All the major religions are present in the region: Buddhism,
Christianity, Hinduism, and Islam; and ASEAN countries have various forms of
government ranging from monarchy to presidential and parliamentary.

1
Paper presented by Dr. Filemon A. Uriarte, Jr., Executive Director, ASEAN Foundation, during the 10th
ASEAN Forum held at the Press Center Building, Seoul, Korea on 16 October 2008.

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 Area and Population

Land Population (million)

Country
(1000 km2) 2007

Brunei Darussalam 5.8 0.396

Cambodia 181 14.5

Indonesia 1,891 225

Lao PDR 237 5.61

Malaysia 330 27.2

Myanmar 677 58.6

Philippines 300 88.9

Singapore 0.7 4.59

Thailand 513 65.7

Vietnam 329 85.2

ASEAN 4,464 576

Economic Performance

GDP per capita GDP total

Country (in USD) (in billion USD)
2007 2007

Brunei Darussalam 31,076 12.23

Cambodia 598 8.66

Indonesia 1,920 432

Lao PDR 736 4.13

2
 Malaysia 6,880 187

Myanmar 216 12.63

Philippines 1,653 146.9

Singapore 35,200 161.5

Thailand 3,740 246

Vietnam 837 71.3

ASEAN 2,227 1,282

The ASEAN Declaration states that the aims and purposes of the Association are:
(a) to accelerate economic growth, social progress and cultural development in the region
and (b) to promote regional peace and stability through abiding respect for justice and the
rule of law in the relationship among countries in the region and adherence to the
principles of the United Nations Charter.

In 2003 the ASEAN Leaders resolved that an ASEAN Community shall be

established by 2015. In this connection, the Leaders adopted the ASEAN Charter during
their Summit in Singapore in 2007. The Charter establishes the legal and institutional
framework of ASEAN and defines its purposes and principles.

In recognition of the fundamental importance of improving the well-being of the

peoples of Southeast Asia and the need to promote ASEAN awareness and people-to-
people contact, the ASEAN Leaders agreed to establish the ASEAN Foundation on 15
December 1997 during the 30th ASEAN Anniversary Commemorative Summit in Kuala
Lumpur. Its aim was to help bring about shared prosperity and a sustainable future to the
entire ASEAN region. The Leaders also adopted ASEAN Vision 2020 foreseeing
ASEAN as a concert of Southeast Asian nations, outward looking, living in peace,
stability and prosperity, bonded together in partnership in dynamic development and in a
community of caring societies as well as a community conscious of its history, aware
of its cultural heritage and bound by a common regional identity. ASEAN Vision 2020
stipulated to use the ASEAN Foundation as one of the instruments to address issues of
unequal economic development, poverty and socio-economic disparities.

In line with ASEAN Vision 2020, the Hanoi Plan of Action (1998-2004) was
adopted at the ASEAN Summit in December 1998 advocating to use the ASEAN
Foundation to support activities and social development programs aimed at addressing
issues of unequal economic development, poverty and socio-economic disparities and to

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support the activities of the ASEAN Foundation to promote ASEAN awareness among
its people.

Subsequently, the Vientiane Action Programme (2004-2010) adopted at the

ASEAN Summit in November 2004, pursued the comprehensive integration of ASEAN
towards the realization of an open, dynamic and resilient ASEAN Community by 2020. It
called for strengthening the role of the ASEAN Foundation under the political
development section of the document in the context of increasing the participation of
various ASEAN bodies in moving forward ASEAN political development initiatives
through promotion of people-to-people contact. The Leaders also adopted the ASEAN
Socio-Cultural Community Plan of Action, which outlined the priority areas to be
undertaken by concerned bodies to advance ASEANs social agenda. In this regard, the
ASEAN Foundation was mandated to play an active role in supporting the
implementation of the Plan of Action, which included promoting access to information
and communications technology resources, enhancing ASEAN awareness through
language training and mass media and youth exchange activities.

The twin objectives of the ASEAN Foundation as reflected in the Memorandum

of Understanding establishing it are as follows:

It shall promote greater awareness of ASEAN, and greater interaction among the
peoples of ASEAN as well as their wider participation in ASEANs activities inter
alia through human resources development that will enable them to realize their
full potential and capacity to contribute to progress of ASEAN Member States as
productive and responsible members of the society.

It shall also endeavor to contribute to the evolution of a development cooperation

strategy that promotes mutual assistance, equitable economic development, and
the alleviation of poverty.

In the same Memorandum of Understanding, the ASEAN Foundation is mandated

to support the following activities:

Organize and support activities to promote education, training, health and cultural
life.
Provide assistance to uplift the social condition of the peoples in the ASEAN
Member States.
Provide fellowships to and support exchanges of ASEAN youths and students.
Promote collaborative work among academics, professionals and scientists.
Implement projects assigned by ASEAN Leaders or Ministers.
Collaborate with the relevant ASEAN bodies.
Organize its own projects and actively raise funds for the Foundations activities.

Article 15 of the ASEAN Charter provides additional mandate to the ASEAN

Foundations as follows:

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 The ASEAN Foundation shall support the Secretary General of ASEAN and
collaborate with the relevant ASEAN bodies to support ASEAN community-
building by promoting greater awareness of the ASEAN identity, people to people
interaction, and close collaboration among the business sector, civil society,
academia, and other stakeholders of ASEAN.

The ASEAN Foundation shall be accountable to the Secretary General of

ASEAN, who shall submit its report to the ASEAN Summit through the ASEAN
Coordinating Council.

Academic, cultural, economic, social and other relevant government institutions

and bona fide non-governmental organizations of ASEAN member countries are eligible
for assistance from the Foundation in conformity with its stated objectives.

The day-to-day operation of the ASEAN Foundation is supported from the

earnings of the endowment fund and the operational fund coming from voluntary
contributions of ASEAN Member Countries. Project funds, on the other hand, come from
contributions from various donors including the Government of Japan, International
Development Research Center Canada, Republic of Korea, Peoples Republic of China,
Government of France, Hewlett-Packard, and Microsoft.

As of March 2008, the ASEAN Foundation has supported 121 projects in the
areas of social development, science and technology, environment, and culture and
information amounting to $17.6 million. Of these, 91 projects have been completed
amounting to $11.36 million while 30 projects are on-going amounting to $6.24 million.

5
 To further achieve its mandates, the ASEAN Foundation will focus its efforts
during the next few years on promoting ASEAN awareness and identity; developing new
partnerships with various ASEAN stakeholders; further engaging the youth in ASEAN
community building; collaborating with corporate foundations in ASEAN and Dialogue
Partners; working more closely with non-government organizations in poverty
alleviation; and establishing regional scholarships and awards to develop and recognize
excellence in the ASEAN region.

ASEAN-ROK Development Cooperation

The sectoral dialogue relations between ASEAN and the Republic of Korea
started in November 1989. The Republic of Korea became a full Dialogue Partner of

6
ASEAN in July 1991. The importance of ASEAN-ROK relations is probably summarized
in the following statement: It is quite clear that as ASEANs ties with key regional
partners deepen, Korea will emerge as a pillar for economic integration in Asia, linking
China, India, and Southeast Asia.2 The importance of development cooperation between
ASEAN and Korea is driven by the deepening interdependence between the two
economies and it is expected to grow in importance in the coming years.

At the 4th ASEAN Informal Summit held in 2000 in Singapore, ASEAN and the
Republic of Korea identified areas of information technology, human resources
development, cultural exchanges, medical assistance and Mekong Basin development
cooperation, as priority areas for cooperation. Since then, ASEAN-ROK development
cooperation has been expanded to cover areas of trade, investment, tourism, science and
technology, and environment. Cooperation in the areas of human resource development,
people-to-people exchange and bridging the development gaps has been given due
attention.

The Joint Declaration on Comprehensive Cooperation Partnership between

ASEAN and ROK, which was issued by the Leaders of ASEAN and ROK during the
ASEAN-ROK Summit held in Vientiane in 2004, provides a list of strategies of action fro
the comprehensive cooperation partnership in eight areas:

Enhancing political and security cooperation

Enhancing closer economic relations
Narrowing the development gaps within ASEAN and between ASEAN and the
ROK
Enhancing competitiveness and promoting knowledge-based economy, and
cooperation in the fields of education and science and technology
Enhancing mutual understanding
Promoting cooperation in coping with emerging global challenges
Cooperation in regional and international arena
Deepening East Asia cooperation.

The ASEAN-ROK comprehensive cooperation partnership provides, among

others, for building a knowledge-based economy by strengthening human and
information capital and technology through knowledge-sharing by linking learning
institutes and promoting a cooperation mechanism for an information society. Under this
partnership, ROK will assist ASEAN in securing the necessary physical and knowledge-
based infrastructure to harness information, knowledge and technology to improve the
welfare, education and competitiveness of the local communities.

In promoting mutual understanding, the ASEAN-ROK partnership will promote

educational and cultural cooperation through programmes and activities such as
scholarships and exchange of cultural performances; promote people-to-people
2
Leong, H. K. (ed.), ASEAN-Korea Relations: Security, Trade and Community Building, Institute of
Southeast Asian Studies, Singapore, 2007. The quote is taken from the Introduction written by Dr. Ho Khai
Leong.

7
exchanges among the academia, youth, media practitioners, artists, diplomats and cultural
experts to deepen mutual understanding and friendship; and expand mass media
exchanges. These programmes and activities, in particular, are of great interest to the
ASEAN Foundation as they fall squarely within its mandates and priorities.

The latest meeting between the Heads of Government/State of ASEAN Member

Countries and the Republic of Korea took place in Singapore during the 11 th ASEAN-
ROK Summit in November 2007. At this Summit, the Leaders noted with satisfaction the
steady progress achieved in the implementation of the Plan of Action to Implement the
Joint Declaration of Comprehensive Cooperation Partnership.

A number of ASEAN-ROK development cooperation projects have been

implemented and supported by the ASEAN-ROK Special Cooperation Fund (SCF) and
Future Oriented Cooperation Project Fund (FOCP). From 2000 to 2004, 51 projects were
implemented, 11 projects were ongoing, and 21 projects were pending implementation.
From 1990 to 2003 the ROK contributed about USD 17.7 million and USD 7 million to
the SCF and FOCP, respectively.

The ROK is also providing support for ASEANs efforts to narrow the
development gap. It has pledged US$5 million and has taken up five IAI projects in the
areas of ICT, capacity building in trade in goods and services, e-government and
undertaking feasibility study for the missing links and spur links of the Singapore-
Kunming Rail Link Projects in CLMV countries.

During the period from March 2007 to August 2008, a total of 15 projects
amounting to nearly $5.4 million were funded by the ASEAN-ROK Special Cooperation
Fund while 13 projects amounting to almost $3 million were funded by the Future
Oriented Cooperation Fund.

Summary of On-going Projects Funded by Special Cooperation Fund

(March 2007-August 2008)

Project Cost (USD)

Restoration of Degraded Terrestrial Forest and Mangrove Forest Ecosystems

1,350,000
in ASEAN Region - Phase 3

Homecare for the Elderly People in the ASEAN Countries 896,819

Developing Regional Standard Operating Procedures for the Return,

Recovery and Reintegration of Trafficking Victims in ASEAN Member 500,000
Countries
Planning Workshop to Develop an ASEAN Consortium of Schools of Social
38,091
Work and Practices

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A Comprehensive Survey on Southeast Asian Perceptions of Korea: Knowing
250,000
Where Korea Stands in Future Cooperation with ASEAN
Building ROK-ASEAN Public Management Forum and Conducting
177,120
Comparative Studies

ASEAN-ROK Cooperation Project Programme Officer - Phase 3 36,842

Human Resources Development Programme for the Officials of ASEAN

109,845
Countries

Total 3,358,717

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Summary of Completed Projects Funded by Special Cooperation Fund
(March 2007-August 2008)

Project Cost (USD)

ASEAN-ROK Cooperation Technology Transfer Programme on Integrated

150,000
Rural Development Planning
ASEAN Cooperation Project for Programming, Information Technology
48,102
Management, Ubiquitous Computing

Workshop on the Use of Wireless Technologies to Bridge the Digital Divide 26,040

8th ASEAN Science and Technology Week: Preparation of ASEAN and ROK
53,223
Scientists in Exhibits and Scientific Conferences
ASEAN-ROK Cooperation on Industrial Use of Marine Biological Resources:
Assessment of the State of the Art of Marine Biotechnology in the ASEAN 279,650
Region
Technology Cooperation on Improvement of Efficiency in the Handling of
230,000
Perishable Crops in ASEAN Countries

ASEAN-ROK Training Programme on Aquaculture Technology 51,518

Restoration of Degraded Forest Ecosystem in the Southeast Asian Tropical

372,200
Regions - Year 7
Restoration of Degraded Forest Ecosystem in the Southeast Asian Tropical
322,300
Regions - Year 8

ASEAN Post-Doctoral Fellowships Year 2002-2003 300,000

Study Visit on Integrated Solid Waste Management to ROK by ASEAN City

68,728
Officials

ASEAN ROK Cooperation Project Programme Officer - Phase 2 35,040

The 4th Joint Planning Review Committees Informal Working Level Meeting 24,646

The 9th Meeting of the ASEAN-ROK Joint Planning Review Committee 31,512

The 10th Meeting of the ASEAN-ROK Joint Planning Review Committee 45,236

Total 2,038,195

Summary of Projects Funded by Future Oriented Cooperation Fund

10
 (March 2007-August 2008)

Project Cost (USD)

Completed (7)

ASEAN-ROK Future Oriented Youth Cooperation: 9th Korean-ASEAN Youth

300,000
Exchange Programme 2007

Korea-ASEAN Academic Exchange Programme 2006-2007 (Year 1) 299,500

Exchange Visit of ASEAN and ROK Officials 2006 148,742

Exchange Visit of ASEAN and ROK Media People 2006 154,814

International College Student Exchange Program Between ASEAN and ROK -

256,353
Year 5

Forum for ASEAN Junior Diplomat on International Affairs 109,859

ASEAN-ROK Knowledge Transfer Programme on Narcotics Crime - Year 1 335,634

Subtotal of completed projects 1,604,902

On-going (6)

The Korea-ASEAN Future Oriented Cooperation Project: Youth Exchange

220,000
Program 2008

Korea-ASEAN Academic Exchange Programme - Year 2 296,500

2008 Exchange Visit of ASEAN and Korean Media People 148,852

2008 Exchange Visit of Korean and ASEAN Officials 142,780

International College Student Exchange Program Between ASEAN and ROK -

227,354
Year 6

ASEAN-ROK Knowledge Transfer Programme on Narcotics Crime - Year 2 335,000

Subtotal of on-going projects 1,370,486

TOTAL OF PROJECTS 2,975,388

ASEAN Foundation-ROK Cooperation

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 The share of the ASEAN Foundation in development cooperation funds from the
Republic of Korea is still rather limited. In December 1999, the Government of the
Republic of Korea, through its Ambassador to the Republic of Indonesia, H.E. Hong
Jung-pyo, contributed the amount of US$200,000 to the ASEAN Foundation to support
activities in the fields of social and economic development of ASEAN countries. The use
of this fund is guided by the Notes on the Financial Contribution from the Government of
the Republic of Korea to the ASEAN Foundation.

As of August 2008, nine projects have been supported using the Korean Fund,
amounting to around $162,000, leaving a balance of about $38,000. The nine projects
cover various areas including science and technology and ICT, culture, and promoting
ASEAN awareness:

Participation of ASEAN Scientists at the 2nd ASEAN Science Congress of the 7th
ASEAN Science & Technology Week

Participation of ASEAN Foundation in the Academy of ICT Essentials for

Government Leaders

Phase II of the Youth@ASEAN Website

1st ASEAN Puppetry Festival 2006

1st Meeting of the ASEAN Puppetry Association

ASEAN Awareness Survey

ASEAN Awareness Forum and Workshop

The Best of ASEAN Performing Arts: Rainbow of Indonesia Mozaik

Archipelago

Increasing the Participation of ASEAN Women Farmers in IFAP Activities

All projects are widely publicized and the support of the Republic of Korea is
duly acknowledged. In particular, the survey on ASEAN awareness and the subsequent
publication of the booklet on Awareness of and Attitudes Toward ASEAN, with funding
support from the Government of the Republic of Korea, provided widespread publicity
regarding the cooperation between the Republic of Korea and the ASEAN Foundation.

Prospects for ASEAN-ROK CSR Cooperation

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 There is now broad agreement that corporate social responsibility encompasses
more than the traditional philanthropic activities and covers several key elements. These
elements generally include: corporate governance, human resource management,
regulatory compliance, environmental stewardship, community outreach and investment,
and human rights. In its most developed form, CSR is viewed as a core strategic function
in the enterprise. Accordingly, CSR activities must be consistent with the mission of the
organization and provide positive competitive outcomes. They must be aligned with the
concept of sustainable development and an equitable sharing of resources across society.

Many companies implement their CSR activities through company-owned but

separately managed foundations. In Korea, there are three general types of foundations:
(a) corporate foundations or company-sponsored foundations, (b) small- and medium-
sized scholarship foundations, and (c) government-funded foundations established by
special laws or decrees.3 The major contributors to these foundations are companies,
wealthy people and the government. The contributed funds are then channeled by these
foundations into social welfare programs, scholarships and educational assistance to
needy students, the alleviation of social problems, and the like. In some cases the
foundations have taken over some of the functions of the government agencies or
ministries that established them.

The Federation of Korean Industries (FKI) has recently set up a new committee
for corporate social responsibility and launched a program called the 1% Club. The 1%
Club denotes the willingness of major member corporations of FKI to make social
investments. Although there has not been a major funding increase in the current
philanthropic program, the launching of the 1% Club clearly indicates that major Korean
corporations are now trying to redefine and reorganize their CSR strategies and activities
following a new paradigm.

While the focus of corporate philanthropy in the late 1990s was providing needed
assistance to poor children and unemployed families, more recent programs are changing
their focus. The member companies of FKI are reorienting their activities and changing
their strategies on corporate social responsibility in the following ways:

(a) The partial goal of corporate philanthropy should be the elevation of the
corporate image rather than of corporate owners. Therefore, FKI has minimized
acknowledging the donors name on major philanthropic gifts and instead has identified
only the corporation.

(b) The pattern of giving has been changed from temporary one-time events to
employee-centered participatory fundraising campaigns. Many prominent corporations
have reported good responses from the public about their planned charitable events. For
example, Korea Highway Corporation installed charity boxes at the entrance of major
highways to collect money for the unemployed.

3
Asia-Pacific Philanthropy Consortium, Strengthening Philanthropy in the Asia-Pacific: An Agenda for
Action, Background Paper: Korea, July 2001. The related discussion in this section is taken from this
publication.

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 (c) Many corporations have incorporated the win-win concept of corporate
philanthropy. This is the kind of cause-related marketing. Most notable among them is
SK Petroleums campaign to help children who miss regular meals because their families
cannot afford them. Whenever people buy gasoline, a portion of the price goes to the
campaign. Major credit companies have also launched a campaign to give a small portion
of their sales to disadvantaged children.

In 2005 the Asia-Pacific Economic Cooperation (APEC) published a report

containing the results of a study on corporate social responsibility in 14 countries in the
Asia-Pacific region, including several ASEAN countries, namely, Indonesia, Philippines,
Singapore, Thailand and Vietnam.4

The APEC report noted similarities across all the 14 countries as follows:

The origins and conceptualization of CSR is rooted in the historical and cultural
traditions of each country, and is deeply influenced by ethical concepts and
religious practice.

There is common understanding that CSR is gradually moving from its historical
focus on business philanthropy to a broader set of activities that engage business
with the full range of its stakeholders and integrate the practice of CSR into the
core strategy of the organization.

For this transformation to occur to its full potential there must be a clear business
case made articulating the benefits of CSR, and there must be buy-in to the
concept by top management but this is difficult to achieve in practice in part
because the practical tools to make CSR operational and to measure its benefits
remain underdeveloped; nevertheless efforts at measurement and reporting are
growing rapidly, in the belief that formal monitoring and evaluation of outcomes
will enhance the credibility of CSR and make it easier to substantiate.

Despite its strong roots in the traditions of each country, CSR has also evolved in
response to profound external forces, including meeting legal and regulatory
obligations and responding to the elite and broader public opinions that demand
higher standards of accountability, for example, meeting environmental
requirements and assuring appropriate labor standards throughout the supply
chain.

To implement CSR activities, larger companies are increasingly turning to

partnerships with other stakeholders including both governments and non-
government organizations.

4
Corporate Social Responsibility in the APEC Region: Current Status and Implications, Asia-Pacific
Economic Cooperation, December 2005. The related discussion in this section is taken from this
publication.

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 The APEC report also observed that despite overall similarities among the 14
countries in the region, there were however notable differences between the experiences
of the developed economies and those of the developing economies.

The CSR activities in the developed economies tend to have the following
patterns:

There is great emphasis on the importance of environmental stewardship and the

strengthening of environmental management practices.

There is strong and active civil society involvement.

The management of supply chain, including links to production in developing

economies, often in response to well-articulated consumer concerns or activism
serves as an important driver.

There is tendency to have strong traditions of community outreach including

corporate community investment that in both concept and practice extends beyond
pure charity or philanthropy.

Companies are increasingly engaged in strategic partnerships with stakeholders

within communities in which they operate for mutual benefit.

The major challenges tend to focus on the appropriate responses to globalization,

identification and addressing gaps in CSR practices, the development of common
standards of good practice throughout the supply chain, and in general assuring
exemplary corporate behavior world wide.

On the other hand, the practice of CSR in the developing economies tends to have
the following patterns:

There is tendency to emphasize the role that multinational enterprises play in

importing good CSR practices, which are then emulated by the local corporate
community.

The key drivers for CSR are the requirements of the global marketplace and their
supply chains, for example, there are strong incentives for exporters to adopt
appropriate practices (e.g. human rights, labor practices, environmental practices
and food safety) to access markets or to attract overseas investment.

Where there are weaker regulatory frameworks or more limited capacity to

enforce legislation, there is tendency for global protocols to influence CSR
practices to overcome local weakness and promote the capacity of local
businesses to compete in global markets.

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 The major challenges generally relate to raising further awareness of CSR, to
build capacity within existing institutions that can drive the adoption of CSR, to
make the case to the local business community to adopt CSR, and to transfer
competencies to individual companies.

A review of the findings of these two studies clearly indicates that there is scope
for close cooperation between ASEAN and ROK in the area of corporate social
responsibility. The concept and practice of corporate social responsibility in Korea are
rapidly evolving towards the same general trend as the entire region. And yet as shown by
the APEC report, while there are similarities in the practice of CSR among the 14
developed and developing countries of the region, there are also clear differences in
pattern. Although already a developed economy, CSR patterns in Korea are probably
closer to those in the developing economies of the region. Accordingly, CSR cooperation
between ASEAN and ROK could address the challenges identified in the study such as
raising further awareness of CSR and identifying and addressing gaps in CSR practices,
developing common standards of good practice throughout the supply chain, and
transferring CSR competencies to individual companies. Since a number of Korean
companies have significant presence in many ASEAN countries, there is great scope for
the transfer of best CSR practices between ASEAN and Korea.

In the proposed Blueprint for the ASEAN Socio-Cultural Community (2008-

2015), which is expected to be adopted by the ASEAN Leaders at the Bangkok Summit
in December 2008, importance is given to promoting corporate social responsibility. The
Blueprint will include as part of its strategic objectives ensuring that corporate social
responsibility is incorporated in the corporate agenda and contributes towards sustainable
socio-economic development in ASEAN Member States. The actions called for in the
proposed Blueprint respond precisely to the aforementioned challenges and include the
following:

Develop a model public policy of corporate social responsibility or legal

instrument for reference of ASEAN Member States by 2010. Reference may be
made to the relevant international standards and guides such as ISO 26000 titled
Guidance on Social Responsibility.

Engage the private sector to support activities of sectoral bodies and the ASEAN
Foundation in the field of corporate social responsibility.

Encourage adoption and implementation of international standards on social

responsibility.

Increase awareness of corporate social responsibility in ASEAN towards

sustainable relations between commercial activities and communities where they
are located, in particular supporting community based development.

Promoting corporate social responsibility will be a novel and challenging area for
possible cooperation between the ASEAN Foundation and the Republic of Korea. The

16
ASEAN Foundation has already initiated some activities in this area. The ASEAN
Foundation, through the Asian Institute of Management Center for Corporate Social
Responsibility, is aiming to establish an independent, self-sustaining network of ASEAN
corporate foundations, with the ASEAN Foundation as the key convenor. The proposed
network, which will aim to promote corporate social responsibility in the ASEAN region,
will be launched during the Asian Forum on Corporate Social Responsibility to be held
on 19-21 November 2008 in Singapore.

The ASEAN Foundation-funded project which AIM is implementing will also

identify gaps among CSR programs of different ASEAN countries; document best
practices in CSR; and promote exchange of learning/experience with a view of
replicating proven successes across the region. For this purpose, partnerships will be
developed with groups of corporate foundations in individual ASEAN countries,
including but not limited to the League of Corporate Foundation in the Philippines, the
Philippine Business for Social Progress, the Singapore Compact for CSR, the Indonesia
Business Links, the Asia-Pacific Philanthropy Consortium, and others.

The ASEAN Foundation will also be launching a program called Friends of

ASEAN. Friends of ASEAN are individuals, corporations, and regional and
international organizations that have faith and confidence in the future of the ASEAN
Community. They support the mission of the ASEAN Foundation to promote greater
awareness of ASEAN and interaction among the peoples of ASEAN and to contribute to
equitable economic development and alleviation of poverty in the region.

Individuals can become Friends of ASEAN by making a contribution of $10,000

to the endowment fund of the ASEAN Foundation while corporations and regional and
international organizations can do so by making a contribution of $20,000. As Friends of
ASEAN, they will be entitled to the following benefits and services:

Participate in an annual meeting or conference to be organized by the ASEAN

Foundation during which papers are presented or lectures delivered by
distinguished experts and personalities on subjects that are of interest and
relevance to the ASEAN region.

Receive copies of all publications of the ASEAN Foundation such as project

information materials and brochures, annual reports, newsletters, and relevant
project outputs or technical and policy papers and reports.

Request copies of selected publications of the ASEAN Secretariat and the

ASEAN Foundation will exert its best efforts to provide these in a timely manner.

Request for copies of technical reports of projects funded by the ASEAN

Foundation and/or policy papers prepared by organizations supported by the
ASEAN Foundation.

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 Names of Friends of ASEAN will be acknowledged and listed in the annual
reports of the ASEAN Foundation, which will be widely disseminated, and
selected stories of outstanding contributions will be featured from time to time.

Names of Friends of ASEAN, including brief descriptions and photographs of

them, will be featured in the website of the ASEAN Foundation.

An attractive brochure of Friends of ASEAN will be prepared and widely

disseminated containing relevant information about the individuals and
corporations.

The Friends of ASEAN will be presented a distinguished certificate recognizing

their support and active practice of individual or corporate social responsibility.

There is no doubt that there is tremendous scope for cooperation between the
ASEAN Foundation and Korea in the field of corporate social responsibility. Such
cooperation will be in line with the proposed Blueprint for the ASEAN Socio-cultural
Community. It will also be fully consistent with the strategies of action contained in the
2004 Joint Declaration on Comprehensive Cooperation Partnership between ASEAN and
ROK. Indeed many CSR projects and activities could be implemented to help narrow the
development gaps within ASEAN and between ASEAN and the ROK; enhance
competitiveness and promote knowledge-based economy; enhance mutual understanding
and friendship; and promote cooperation in coping with emerging global challenges.

Cooperation between the ASEAN Foundation and Korea in this area could be
initiated by convening an ASEAN-ROK conference on corporate social responsibility.
Other possible follow-up activities would be the convening of a regular (once a year or
once every two years) ASEAN-ROK CSR Forum where participants can discuss effective
ways of integrating CSR into the corporate mission and vision and contributing to
knowledge sharing on CSR best practices and success stories as well as provide
substantive inputs to the on-going process of formulating ISO 26000 Guidance on
Social Responsibility, which is expected to be completed in 2010. An ASEAN-ROK CSR
Award may also be established to recognize outstanding work on corporate social
responsibility. Eventually, joint CSR projects may be developed and implemented among
and between ASEAN and ROK corporations and corporate foundations, particularly with
those Korean corporations that have significant presence in ASEAN countries.
Furthermore, Korean corporation and research and policy organizations may be
encouraged to join Friends of ASEAN and actively participate in and support the work of
ASEAN, in general, and the ASEAN Foundation, in particular.

Conclusion

The Comprehensive Cooperation Partnership that was agreed upon by the Leaders
of ASEAN Member States and the Republic of Korea provides a wide scope for

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cooperation between the ROK and the ASEAN Foundation. To cite just one example, the
mandate of the ASEAN Foundation under Article 15 of the ASEAN Charter to promote
greater people-to-people interaction and close collaboration among the business sector,
civil society, academia and other stakeholders is consistent with the aim of the
Partnership to enhance mutual understanding by promoting people-to-people exchanges
among the academia, youth and others; and to promote educational and cultural
cooperation through activities such as scholarships and exchange of cultural
performances.

The ASEAN Foundation provides an alternative institutional avenue for ASEAN-

ROK cooperation that is more flexible and more able to closely link with the business
sector, corporate foundations and non-government organizations. Being a small
organization, the ASEAN Foundation is also able to move more quickly in approving and
implementing projects. A closer partnership and wider cooperation between the ASEAN
Foundation and the Republic of Korea will greatly contribute to deepening the already
close ASEAN-ROK Dialogue Relations.

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