David Cameron seeks markets in South-East Asia

“WHEN I visited [South-East Asia] three years ago, it was the 12th-largest economy in the world,” said David Cameron, Britain’s prime minister, from a stage at the National University of Singapore on July 28th. “Now it’s the seventh, and it’s predicted to be the fourth-largest single market by 2030.” Longtime South-East Asia watchers may struggle to suppress a cynical smile at Mr Cameron’s mention of a “single market”: making the ten-country Association of South-East Asian Nations (ASEAN) into a single market is one of those political goals that has been just around the corner for years. But the fundamental point is true enough. ASEAN is a large and growing market, with which Britain does surprisingly little business. Mr Cameron noted that Britain trades more with Belgium than it does with the four countries on his itinerary (Indonesia, Malaysia, Singapore and Vietnam) combined.

He has come partly to talk up British business. Accompanying him are the business secretary, Sajid Javid, and representatives of British firms such as Aviva, an insurance company, Lloyd’s, a marketplace for insurance, and Balfour Beatty, a construction firm. He finds himself on comfortable ground: two of his destinations, Singapore and Malaysia, were once British colonies and, as Mr Cameron noted to laughter, the region is home to more Manchester United supporters than there are people in Britain. But the trip has a geopolitical purpose as well: to discuss terrorism and the threat of Islamic State (IS) in Indonesia and Malaysia, two Muslim-majority countries on edge about the danger posed by domestic IS supporters and returning fighters.

In Indonesia yesterday the prime minister announced that 50 Indonesian police officers would be given training in Britain. He promised to help improve airport security in Jakarta, the capital, and in Bali, where 27 Britons were among the 202 killed in terrorist bombings in 2002. And he announced that he would extend up to £1 billion ($1.6 billion) in financing for the country's infrastructure projects. Nobody should expect jackhammers and diggers to hit the streets tomorrow. Indonesia’s ambitious infrastructure plans have been delayed not for want of money, but because of bureaucratic battles and political infighting—something no amount of foreign investment can resolve. Still, with Indonesia’s currency at a 17-year low against the dollar, £1 billion goes a long way.

In his speech in Singapore Mr Cameron talked up his anti-corruption drive, and turned his attention back towards Britain, warning “foreign fraudsters” that “London is not a place to stash your dodgy cash”. It was a valiant attempt to jazz up unsexy topics, such as transparency in corporate governance and the property market. Mr Cameron made a business-centred argument against corruption: that by undermining the rule of law and public confidence in institutions, it renders the business environment riskier and less welcoming. The link to Singapore was the legacy of Lee Kuan Yew, the country’s recently deceased founder, who built a government notable for its lack of corruption. But Mr Cameron also gently needled his hosts, reminding them that sound governance with public support “demands not just freedom of expression but also a free press that can attack the government”. In Reporters Without Borders’ most recent World Press Freedom Index, Singapore ranked 153rd of 180, just behind Russia.

Mr Cameron’s next stop is number 147 on that index: Malaysia, whose prime minister, Najib Razak, is beset by allegations reported in the Wall Street Journal that investigators have traced nearly $700m from companies linked to a state-backed investment fund into what they believe are his personal bank accounts. Mr Najib vigorously denies the allegations, which have set Malaysia’s perpetually volatile political world ablaze. Today he dismissed five of his 35 cabinet ministers, including his deputy, Muhyiddin Yassin, who has been critical of how the government has handled the controversy. Activists and opposition politicians have been given travel bans, and Mr Najib’s government has suspended two newspapers that have reported on the fund. He is reportedly mulling legal action against the Wall Street Journal. Whether Mr Cameron will touch on any of this—and, if he did, what good it would do—remains to be seen.