INTRODUCTION
The First Lady and I are delighted to be here with all of you to host this 1998 Vin d’Honneur for the members of the diplomatic community in the Philippines.

We wish to extend to each and every one of you — and through you, to your respective heads of state and of government — our best wishes for a peaceful and prosperous new year.

Looking back at the year just passed, we recall that most analysts described 1997 as the last year of Asia’s vaunted economic ascent. Even here in the Philippines, considered the least affected in the developing countries of our region, the Philippine peso has fallen steeply against the US dollar.

But I take exception to such a bleak long-term prognosis.

In the first place, East Asian growth, together with our capacity for recovery, is still anchored on solid macro-economic fundamentals.

In the long-term, our region still has the young and educated population, the skilled work force, the growing consumer market and the demand for infrastructure development that will keep it attractive as a global market and investment destination.

This is why we have sought to promote both regional financial cooperation, through the manila framework, and stronger financial cooperation with other countries outside the region.

The fifth APEC leaders’ meeting in Vancouver last November, brought our nascent regional community even closer together, in managing the problems of currency depreciation and in harmonizing our actions for regional trade liberalization and economic and technical cooperation.

We also continue to develop the potential for a more dynamic partnership between Asia and Europe through the Asia-Europe meeting (ASEM) process.

I strongly believe that the region will remain stable in the foreseeable future in spite of difficulties, for as long as its strong security underpinning continues in place.
ASEAN’S IRREPRESSIBLE SPIRIT
We, of Southeast Asia continue to make good headway in our economic integration, through sub-regional growth zones like the East ASEAN Growth Area (EAGA), liberalized arrangements such as the ASEAN Free Trade Area (AFTA), and the expanded Asia Pacific Economic Cooperation (APEC) Forum.

Another milestone of success in Asia last year was the celebration by ASEAN of its thirtieth year as a community of Southeast Asian nations.

Asean has increased its fold with the admission of Laos and Myanmar last July. I was the first ASEAN head of government to visit these countries immediately after their admission to ASEAN. We have high expectations that Cambodia will soon join ASEAN as a full-fledged member, thereby fulfilling our aspiration of “Southeast Asia Ten” (SEA-10).

Last month in Kuala Lumpur — in the midst of the gripping financial crisis faced by the region — the ASEAN heads of state and heads of government issued a vision statement to affirm the association’s commitment to achieve by the year 2020 a higher quality of life for its peoples and provide a steady and abiding influence upon the progress and development of the region.

This was not an act of unreasonable exuberance but an expression of ASEAN’s irrepressible determination to achieve more success in the coming years.

The Philippines, as the current chairman of ASEAN, is committed to move the association closer to the realization of ASEAN’s Vision 2020.
GAINS IN INTERNATIONAL COOPERATION
Among the notable successes in 1997 for global cooperation was the signing, in Ottawa last month, of the International Convention Banning Anti-Personnel Land Mines.

The Philippines played a lead role in the Ottawa Process that led to the early signing of the convention, which we regard as being among the finest achievements attained by governments and the global civil society — by their working together to reduce suffering caused by inhumane and indiscriminate weapons.

We were also encouraged by the results of the Kyoto Conference on Global Climate Change last month. The major agreements on targeted reductions in emissions of man-made greenhouse gases were a major victory for a cleaner environment.

This outcome was a welcome development for the Philippines, which is an archipelagic nation, and for the small Pacific Island countries. We are deeply concerned with global warming linked to rampant emissions which could make sea-levels to rise around the world, and cause such undesirable phenomena such as El Niño.

The Kyoto Conference proved that developing and developed nations could come to a sensible agreement in the general interest of mankind.

As I have done since the start of my administration, we pursued a full diplomatic agenda of exchanges at the highest level last year. I was happy to receive in 1997 the heads of state, heads of government and other very important dignitaries from more than a dozen countries around the world. And may I express my appreciation for the warm welcome and excellent arrangements accorded me in my state and other visits last year to some 21 countries.
MANY TASKS REMAIN
But much remain to be done. In spite of these achievements in our relations as nations, there is still a climate of uncertainty in our region and in many other parts of the world. Unresolved global issues still abound.

These tasks cannot be accomplished all at once. And this fact underscores the urgency for nations to enhance their cooperation for their mutual benefit.

From the Philippine perspective, we will continue to press for intensified cooperation, among others, within the international community in addressing new and urgent global issues, such as international terrorism and other transnational crimes, especially the illicit global trade in dangerous drugs, and the illegal traffic and criminal exploitation of women and children. We will also pursue our interests in seeking more protection for migrant workers.

Moreover, we all must do our best to spur reform in the United Nations, which is the only global system where problems of a universal nature can be subjected to global management with global solutions for global results.

In this light, it is essential that we strengthen the capacity of the world body to fulfill its mandate to promote global peace and human development, and to enhance the representative nature and transparency of the Security Council.

We hope to pursue these goals with like-minded countries represented here today.
CLOSING
Excellencies, ladies and gentlemen:

This year 1998 is a special year for the Philippines, for we are celebrating the Centennial of the Declaration of Philippine independence which took place on June 12, 1898. The Filipino people most heartily welcome the participation of many countries and the visits of many distinguished guests in connection with our year-long centennial commemorations.

National elections are slated for this coming May 11th and they will show yet again that democracy is vibrant and functioning in the Philippines. The Filipino people will choose leaders who are committed to the same desire for reform and openness that the Ramos administration has so carefully nurtured and implemented over the past five-and-a-half years. The year 1998 will therefore be a year of consolidation for us Filipinos — to preserve our gains of the recent past.

Philippine diplomacy will remain a major instrument of our national policy. The quest for foreign markets and investments, for cooperation on global issues, and for mutual understanding on global and regional security will mean greater contact and interaction between the Philippines and the community of nations.

In this spirit, I invite all of you to join me in a toast for genuine peace, social progress and economic prosperity in 1998.

Mabuhay!