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President Bush Attends APEC CEO Summit 2008
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For Immediate Release Office of the Press Secretary November 22, 2008

President Bush Attends APEC CEO Summit 2008 Ministry of Defense Convention
Center Lima, Peru

˙˙White House News
˙˙Photos

˙˙˙˙˙ In Focus: APEC 2008

9:48 A.M. (Local)

PRESIDENT BUSH: Gracias, se¤or. (Laughter.) What he forgot to say,
Secretary Rice, is that he went to Notre Dame. She is a great supporter of
Notre Dame. And thank you for having me. Laura and I are delighted to be
back in your country.

This is my second trip as President. I have been looking forward to it. And
I appreciate the opportunity to come and discuss the state of the financial
situation with such an august group. I want to thank you for making the
Asia Pacific region a vibrant part of the world.

I believe it is important for the world to recognize, and for our country
to recognize, that the United States is a Pacific nation. And over the past
eight years, I have made it a priority -- I made APEC a priority. I've been
to every single APEC summit. (Applause.) I want to send a clear signal that
it's in our nation's interest that we engage actively and consistently with
the nations of APEC.

My first international trip after September the 11th, 2001, was to an APEC
summit in Shanghai. My first trip overseas after my reelection in 2004 was
to the APEC summit in Chile. And now that I'm headed to retirement --
(laughter) -- my last trip as President is to APEC here in Lima.
(Applause.)

This summit comes at a serious time during economic turmoil. And I'm
looking forward to our discussions. It is -- also comes at a time of
unprecedented cooperation. A week ago in Washington, you might have heard
that I had the honor of hosting a summit in what will be the series of
international summits to address the financial crisis. I didn't believe we
could solve all problems in one meeting, but I did believe it was important
for us to host the initial summit to get it started, to lay the foundation
for successful -- for meetings.

I also didn't believe that the meeting ought to be with kind of a handful
of countries. Some suggested, keep the meeting small. I didn't agree with
that. And that's why we invited 20 leaders, including eight members of APEC
-- because I believe developed nations and developing nations needed to be
sitting at the same table to have an honest, fruitful dialogue. (Applause.)
After all, nations in Asia and Latin America now contribute more to the
world economy than ever before. Nations are feeling the painful effects of
the financial crisis; I understand that. And so all of us need to be
involved in the solution. And we'll discuss this during our APEC meetings
here, starting today.

At the summit, leaders from around the world sent a powerful message of
unity and determination. We agreed on principles and actions to modernize
the financial structures of the 21st century. There's a recognition that
while our economies have changed, the financial structures that we are
dealing with were primarily written in the 20th century. We believe in
transparency and integrity in the markets that will make sure that firms
and financial products are subject to proper regulation and oversight.

We agreed that the world's financial authorities must improve cooperation,
that governments must keep their promises to the developing world. One
point I'll make this morning at the APEC summit is to say that the United
States is committing

-- committed to improving social justice, and we will not let this economic
turmoil prevent us from helping nations educate their people, provide good
health care, feed the hungry, and deal with diseases like HIV/AIDS and
malaria.

We agreed that we must reform the International Monetary Fund and the World
Bank to better reflect the important role of developing nations. And we
agreed to keep our markets open and firmly reject protectionism.
(Applause.) All these steps are essential to rebuilding confidence in our
financial systems. Yet the only way to regain strength in the long term is
sustained economic growth. And among the most powerful engines of that
growth are the businesses and workers and entrepreneurs of the Asia Pacific
region.

A few decades ago, a statement like this would have seemed unimaginable.
Many Asia Pacific economies were mired in poverty; their governments
pursued backward economic policies. Then leaders started to make bold
decisions by opening up their markets, by welcoming investment and trade,
and by tapping the potential of the private sector. The results have
astonished the world.

In the midst of all this turmoil, it's important to remember what has taken
place as we chart our future. The APEC region's share of the global economy
has grown nearly 55 percent. Isn't that interesting? When we meet today in
Lima, Peru, about 55 percent of the total world's economy will be at that
table. In a single generation, the percentage of East Asians living in
poverty has plummeted from nearly 80 percent to 18 percent. We're
witnessing a dramatic shift of history, as the center of the world economic
stage moves from West to East

-- from the Atlantic to the Pacific.

Some view the rise of Asia Pacific with suspicion and fear. America
doesn't. The United States welcomes the success of emerging economies
throughout the region. We welcome the new hope that comes when people
escape poverty and join a confident middle class. We welcome new buyers for
our products, and new investors for American enterprise. We welcome new
competition that leads our own workers and businesses to be more efficient.
In an interconnected global economy, the gains of any advance the interests
of all. So over the past eight years, America has engaged this vital region
more closely than ever before.

Continuing that engagement is especially important during the times of
economic strain. The policies of free enterprise that lifted up so many in
this region can help chart a path to recovery for the whole world. That's
what's important for people to know. That which enabled us to be successful
in the past must be used to help us chart a more hopeful future for
tomorrow. With confidence in our ideals, we can turn the challenge we face
today to an opportunity -- and lead the way toward a new era of prosperity
for the Asia Pacific and beyond.

So I want to talk today about how to do that and I want to focus -- and I
think we ought to focus our efforts on three great forces for economic
growth: free markets, free trade, and free people. (Applause.)

First, our nations must maintain confidence in the power of free markets.
Now, I know in the wake of the financial crisis, free markets have been
under very harsh criticism from the left and from the right. It's true the
free market system is not perfect. It can be subject to excesses and abuse.
As we've seen in recent months, there are times when government
intervention is essential to restart frozen markets and to protect overall
economic health. Yet it is also essential that nations resist the
temptation to overcorrect by imposing regulations that would stifle
innovation and choke off growth. The verdict of history is unmistakable:
The greater threat to prosperity is not too little government involvement
in the market -- it is too much.

Over the decades, the free market system has proved the most efficient way
and the just way of structuring an economy. Free markets offer people the
freedom to choose where they work and what they want; offers people the
opportunity to buy or sell products as they see fit; gives people the
dignity that comes with profiting from their talent and their hard work.
Free markets provide the incentives to lead to prosperity -- the incentive
to work, to innovate, to save and invest wisely, and to create jobs for
others. And as millions of people pursue these incentives together, whole
societies benefit.

No region of the world demonstrates the power of free markets more vividly
than the Asia Pacific. Free markets helped Japan grow into the world's
second-largest economy. Free markets helped South Korea make itself one of
the most technologically advanced nations on Earth. Free markets helped
Chile triple its economy and cut its poverty rate by more than two-thirds
over the past two decades. And last year, free market policies helped make
Peru's economy the second-fastest growing in APEC.

Secondly, our nations must keep our commitment to free trade. When nations
open their markets to trade and investment, businesses and farmers and
workers find new buyers for their products. Consumers benefit because they
have more choices and better prices. Entrepreneurs get their ideas off the
ground with funding from anywhere in the world.

Trade is seen as controversial in some places, but here in the Asia Pacific
region its benefits are beyond doubt. Trade transformed the economies of
the "Asian Tigers" -- Singapore, South Korea, Hong Kong, and Taiwan -- into
global powerhouses. Trade fueled the rise of a new generation of Tigers --
nations like Malaysia, Indonesia, Thailand, and Vietnam. And in the most
dramatic case of all, trade helped lift China out of isolation and poverty
-- and into three decades of rapid economic growth and closer engagement
with the world.

Expanding trade and investment has been one of the highest priorities of my
administration. When I took office, America had free trade agreements in
force with only three nations. Today, we have agreements in force with 14
-- including China*, Singapore, and Australia. We have agreements that will
soon take effect with three more countries, including Peru. We concluded
agreements with Colombia, Panama, and South Korea. And it is extremely
disappointing that the United States Congress adjourned without passing
these three agreements. And I urge all those who support free trade to
continuing pressing the case for the Congress to pass free trade agreements
with Colombia and Panama and South Korea. (Applause.)

I just had a chance to have a cup of coffee with President Uribe. He is a
strong leader. He's a good friend. And our Congress and our government must
never turn our back on such a friend as Uribe. (Applause.)

In addition to negotiating these free trade agreements, my administration
supported the accession of China, Taiwan, and Vietnam into the World Trade
Organization. We're negotiating bilateral investment treaties with China
and Vietnam. We're discussing similar agreements with Taiwan, Indonesia,
and Russia.

These steps have brought benefits to America, and they brought benefits to
our trading partners. Since I took office, America's trade with the world
has grown from $2.5 trillion to $4 trillion -- an increase of nearly 60
percent. Trade with Chile and the United States has more than doubled.
Trade between Peru and the United States has more than doubled. And trade
between China and the United States has more than tripled. Overall,
America's trade with APEC nations now accounts for nearly two-thirds of our
trade in the world.

Greater economic integration in the Asia Pacific advances the interests of
all. So earlier this year, America began discussions on a new regional free
trade agreement with Brunei and Chile, New Zealand and Singapore. This
agreement has the potential to open up new opportunities across the region.
And we welcome other APEC members to join, and we appreciate Australia and
Peru's recent announcements that they will join. Eventually, this agreement
could be the foundation of something even more promising -- a free trade
area of the Asia Pacific, where goods and services and capital flow across
borders without barriers.

The nations in this region must also continuing to work -- must continue to
work down -- continue working to break down trade barriers at the global
level. We have an immediate opportunity to do so through the Doha Round at
the WTO. One of the enduring lessons of the Great Depression is that global
protectionism is a path to global economic ruin.

At our summit in Washington last weekend, leaders from around the world
expressed strong support for completing Doha. Isn't that interesting? Over
20 nations at the table, from all different kinds of backgrounds, expressed
solidarity with the idea of completing Doha. And now we've got to put those
words into action. I recognize I'm leaving office in two months, but
nevertheless, this administration will push hard to put the modalities in
place so that Doha can be completed, and so we can send a message: We
refuse to accept protectionism in the 21st century. (Applause.)

The third great force for economic growth in this region is the limitless
potential of free people. As the business leaders in this room understand,
the greatest resource any country has is the creativity of its citizens.
That's what economists call "human capital." And the best way to unleash
that resource is, is to build healthy, educated, and democratic societies.

One requirement of any free and prosperous society is accountable and
effective government. The United States launched the Millennium Challenge
Account to invest in nations that fight corruption, pursue wise economic
policies, and invest in the health and education of their citizens. Today,
Millennium Challenge programs support some of the world's most promising
developing nations -- from Indonesia to the Philippines to Peru. This
initiative demonstrates a larger truth: Whether it leans left or right, any
government that is honest with its people, that exists to serve the people,
that advances social justice and desires peace, will have a partner in the
United States of America.

America is helping build -- helping governments lift the daily burdens that
hold their people back, such as hunger and ignorance and disease. We're
cooperating with APEC nations to adopt better farming practices and build
up local agriculture markets. We're partnering with leaders to defeat the
AIDS epidemic in places like Papua New Guinea and Vietnam. We're supporting
countries like Indonesia that invest in basic education. We're committed to
these efforts. And as I said earlier, we'll be committed to these efforts
regardless of the ebb and flow of the markets, and our partners can be
confident that the compassion agenda of the United States of America will
continue.

Ultimately, the only way for a nation to realize its full potential is for
its people to live in freedom -- it includes both economic and political
freedom. When people are free to profit from their abilities, they prosper.
When people prosper, they demand more liberty in other areas of their
lives. And we have seen this story unfold throughout this region. To
continue freedom's momentum, the United States and other free nations are
taking practical steps to support young democracies through the Asia
Pacific Democracy Partnership. We recognize that democracies develop at
their own speeds, consistent with their own cultures. But when people
experience the dignity and the opportunity that freedom brings, they never
turn back. I've told people a lot since my presidency this truth: I believe
there is an Almighty. And I believe a gift of that Almighty to every man,
woman and child on the face of the Earth is freedom. (Applause.)

As we look to the future, the tasks facing our nations are no doubt
demanding. Recovering from the financial crisis is going to take time. But
we'll recover, and in so doing, begin a new era of prosperity.

The nations of APEC have faced tests before. We have risen to meet them
together, and we will do so again. Over the past eight years, we've taken
measures to protect our people from terror and the proliferation of weapons
of mass destruction. We've responded to natural disasters. We've worked to
prevent the spread of potential pandemic diseases like avian flu and SARS.
We've worked to confront climate change and usher in a new age of clean
energy. We're standing for a Korean Peninsula free of nuclear weapons --
and with a Burma free of repression.

Above all, we can be confident in the future of this region because we know
the spirit of its people. And I've seen it firsthand. When I attended my
first APEC summit in Shanghai -- just a few weeks after September the 11th,
2001 -- I said that America would always remember the signs of support from
our friends in the region. I remember the American flag flying from every
fire truck in Montreal, Canada. I remember children kneeling in silent
prayer outside our embassy in Seoul. I remember baseball players in Japan
observing moments of silence. I remember a sign handwritten in English at a
candlelight vigil in Beijing that read, "Freedom and justice will not be
stopped."

The bonds of unity we felt then remain today, and they will always remain.
Long after this crisis has passed, the United States of America will stay
engaged in this region. We will continue working with our partners to build
an Asia Pacific where people can work and worship and trade in freedom,
where children grow up with hope and pursue their dreams, and where
thriving, prosperous nations continue to inspire the world.

Thanks for letting me come by. Que Dios le bendiga. God bless. (Applause.)

END 10:11 A.M. (Local)

*Chile

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