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KUALA LUMPUR: A strong economy cannot exist if public welfare is sidelined, which is why Asean leaders must ensure that social progress moves in tandem with economic growth, said Perak Ruler Sultan Nazrin Muizzuddin Shah.
Sultan Nazrin said strong growth is seen in the Islamic finance industry, which surpassed US$5 trillion globally, but the fact is that millions of residents within Asean remained marginalised by poverty, inadequate infrastructure and under-provision.
According to Sultan Nazrin, nearly 200 million adults still do not have access to banking services in the Asean region, while broadband coverage in rural areas still lags behind urban areas by as much as 30 per cent.
“The risk is not only of exclusion, but of a widening divide that limits opportunity and weakens our social cohesion.
“A strong economy cannot exist in isolation from the welfare of its people.
“It is our responsibility to ensure that economic growth translates into tangible social progress - that it serves not just markets or capital owners, but communities,” said Sultan Nazrin at the 2025 Asean Inclusive Growth Summit here on Friday (Oct 24).
Sultan Nazrin said that Islamic finance, which coexists with conventional finance, has long demonstrated how markets can serve society.
“Islamic finance connects capital with purpose, encouraging investment in productive enterprises while discouraging speculation and exploitation.
“Today, it represents more than 40% of Malaysia’s financial systems assets,” said Sultan Nazrin.
Meanwhile, Sultan Nazrin said digitalisation has enabled even the smallest businesses to connect with global markets, but inclusion must remain as the compass of the regional grouping.
Sultan Nazrin said technology can expand opportunity, but it can also deepen inequality, if digital access and literacy do not keep pace.
“To unlock the full promise of the digital economy, investment must go beyond infrastructure, towards building systems, and institutions that people can confidently rely on to protect them,” said His Royal Highness.
Sultan Nazrin also stressed the importance of governing artificial intelligence with transparency and accountability, as well as to foster trust among the public.
According to Sultan Nazrin, digital progress can be transformative with adequate public trust.
“We can work together - all of us, governments, businesses, civil society and citizens - to build digital tools and ecosystems that are safe, transparent, and equitable,” said His Majesty.
Earlier, Sultan Nazrin said Asean has come a long way since its inception in 1967, and now, the regional group has a population of almost 700 million and a combined GDP of nearly US$4 trillion.
But, Sultan Nazrin urged against complacency, saying it could impede progress and innovation.
“Economic growth must continue to be broad-based, and equitable, benefiting everyone, from our capital cities to smaller towns and rural communities,” he added.
The 47th Asean Summit and Related Summits will conclude on Oct 28.
