Economic Factors Shaping Private Sector. Development in the Greater Mekong Subregion

Abstract

The Greater Mekong Subregion is a huge, poor area in Asia with a high growth potential and rich natural and human resources. Some intensive multilateral efforts have recentyl been made to stimulate the private sector development there. This study identifies several economic factors shaping its future opportunities and risks. They include the region's (1) general economic growth and market potential, (2) infrastructure endowment and geographic remoteness, (3) cross-border co-operation or competition for attracting FDI and future production activities, (4) industrial specialisation and competitiveness in the world and regional markets, as well as (5) institutional and macroeconomic stability.