ABSTRACT
Demand for regional cooperation and integration has increased considerably in recent years in Asia and the Pacic region in order to support social and economic development and reduce poverty. Strategies focusing on inclusive and sustainable development have become increasingly important for poverty reduction in individual developing countries and to regional and subregional cooperation eorts. Developing countries in the region share the challenge of making social and economic development more inclusive. Public policies need to focus on inclusiveness to create opportunities for everyone, particularly the poorest, provide a safety net for those who fall on hard times, and achieve other important social and economic objectives in society. e policies that best address these issues are oen national in scope, but the challenges also have important regional dimensions (Asian Development Bank [ADB] 2008b). While most Asian economies have made remarkable progress in reducing poverty, benets have failed to reach signicant numbers of people. Progress has lagged in some countries, especially on nonincome measures. Sharp income disparities have emerged within some countries. Economic growth and development in the region have been far from inclusive. e gap between the rich and poor has widened in recent years (ADB 2008b, 2007a). Most recently, the impact of the
global economic downturn has further highlighted the income inequalities and the risks they pose for social and economic development globally and in the region (International Labor Organization [ILO] 2008b). As economies in the region have grown larger and more complex, they also have become more integrated through various forms of economic and social exchange (ADB 2008b). Higher education is envisaged to have an increasingly important role in developing human resources and contributing toward increased movement of people, students, and the workforce in the region. In order to fulll this role in an inclusive and sustainable manner, higher education must be equitable in terms of access and nancing mechanisms, and of good quality. Countries in the region seek increasing cross-border collaboration in both higher education and labor markets. In doing so, they sometimes look to international development organizations, such as the Asian Development Bank (ADB) and the World Bank, for nancial and technical assistance. In its long-term strategic framework, Strategy 2020, the ADB focuses on ve core operation areas (including the education sector) that are essential to sustaining development and growth and providing access to economic opportunities-the pillars of inclusive growth (ADB 2008d). Inclusive development and growth require continuous development of an adequate human resource base. e current economic downturn has only served to further conrm the importance of supporting inclusiveness through education in the region. Education of good quality, and equitable access to it, will continue to be important to social and economic development in the region. Demand also is increasing for pursuing regional cooperation and cross-border collaboration in the sector, particularly in higher education. ADB’s strategic study of the education sector in Asia and the Pacic region (ADB 2008a) provides a systematic analysis of education and human capital development challenges and presents strategic recommendations for ADB operations in the education sector. It helps ensure that ADB’s operations continue to respond eectively to developing countries’ needs that arise from evolving labor markets and rapid economic and social development. Resource requirements and development needs in higher education are expected to increase signicantly over the next decade due to system expansion and development pressure. While economic circumstances may challenge the investment scenario in the short term in some parts of the region, it is reasonable to assume that, overall, investment in higher education will continue to increase due to a strong demand.
