1. Equipping our students to thrive with Asia
2017 Edition
We suggest you change the photo to students from your school (also on slide 27)
This PowerPoint is from the Asia New Zealand Foundation Educators Network. The Foundation is a non-profit organisation largely funded by the government to increase New Zealanders knowledge and understanding about Asia.
This presentation explains the reasons why we should be equipping our students to thrive with Asia.

2. When we talk about Asia, we need to keep in mind that we’re talking about a diverse range of countries, cultures and peoples.

3. Our daily lives are increasingly connected with Asia
Our economy and careers are increasingly connected with Asia.
Increasing numbers of New Zealanders are of Asian descent.
Increasingly our daily lives are connected with Asia.
Firstly, our economy and careers are increasingly connected with Asia.
Secondly, within New Zealand itself, increasing numbers of New Zealanders are of Asian descent.
We will first look at why the Asian region is increasingly important to our careers and economy.

4. The Asian Century
This century has been referred to by some commentators as the ‘Asian Century’.
This info graphic is actually from a document called, ‘Australia and the Asian Century’ which was published by the Australian government a few years ago.
It describes a centre point for world economic gravity at different dates in time. This point gets pulled to different regions in the world by the size of different countries GDPs.
For thousands of years, economic activity in Asia kept the centre of world economic gravity in that part of the world.
However come the industrial revolution, the centre of world economic gravity was pulled towards Europe and Britain. The 19th century, sometimes referred to as the ‘European Century’ or ‘British Century’ saw these countries colonise the world, the sun never set on the British Empire, European culture and influence spanned the globe.
Come the 20th century and America gained in prominence. America became the economic powerhouse of the world, superior military might and cultural influence (especially if we think of Hollywood and pop music). The 20th century therefore is sometimes referred to as the ‘American Century’.
However as you can see, there has been a steady pull of the centre of economic gravity back towards Asia – ‘here’ in 2000, ‘here’ in 2010 and projected to be ‘here’ by 2025.

5. Much of this ‘pull’ towards Asia has to do with the large populations that Asia has.
China has a population of about 1.4 billion people.
India has a population of about 1.1 billion people.
Indonesia, fourth most populous country in the world, and our closest Asian neighbour has a population of about ¼ of a billion people.
As you can see, there are more people living inside this circle than live outside of it.
Size does count.

6. The age of urbanization
The other factor pulling the centre of economic gravity back to Asia is the rapid urbanisation of Asian countries.
A significant projection in this info-graphic is that by 2025 half of all people in the world who live in a city will live in a city in Asia – 2.5 billion people.
In becoming more urban, Asian countries are pulling many of their people out of poverty. In the last 20 years, 620 million people have exited poverty.
This urbanisation is leading to the rapid rise of the middle class consumer in Asia.
Source: McKinsey Global Institute 2015

7. A few years ago the OECD (Organisation for Economic Co-operation and Development) put out this graph.
It shows middle class consumer spending in trillions of US dollars in different regions of the world.
The inner circle shows actual spending of middle class consumers in The outer circle shows projected spending in 2030.
In North America, there isn’t projected to be much movement. America and Canada are already developed nations.
There will be a bit of movement in Europe, certainly increases in middle class consumer spending in the Middle East and North Africa as well as in South America.
However, look at our part of the world, Asia Pacific. The OECD are projecting huge growth in middle class consumer spending.
By 2030, China will have been the number 1 economy in the world for sometime, number 2 will most probably be the USA however followed closely by India and then Japan is expected to be number 4 biggest economy (it is currently number 3).
Some commentators predict that Indonesia will overtake Britain to be the 7th biggest economy in the world.
Remember that the majority of the students at our school now will be in the workforce by 2030.
Source: OECD

8. So by 2030, there is projected to be around 3 billion middle class consumers in Asia (up from around ½ billion in 2009).

9. This equates to 60% of the world’s middle class.
If you think about how the 1 million baby boomers have had an effect and influence within New Zealand, imagine what 3 billion Asian middle class consumers will have on the future careers of our students and the New Zealand economy.

10. Greater global connections
Global connections between countries will increase and be increasingly important.
Highly connected countries can expect 40% more GDP growth than the least connected countries.
Source: McKinsey Global Institute 2015

11. Of course, due to our fortunate proximity to the Asian region, the rapid rise of the middle class in Asia is already having a significant effect on our economy now.

12. China is now our most important trading nation
China is now our most important trading nation. More good and services are exported from New Zealand to China than any other country.
Source: Statistics NZ 2015

13. Rapid rise of exports to China
The importance of the Free Trade Agreement New Zealand signed with China in 2008 can be seen in this graph.
Although there has been a drop off in exports due to lower sales of our Dairy produce to China, over time the increase in exports is expected to continue along with the increase in the middle class in China.
Source: Statistics NZ

14. Rapid rise of tourists from China
Tourism is our second biggest ‘export’ earner. Again we can see a rapid rise, this time in tourist coming from China.
Source: Statistics NZ

15. Chinese tourist are spending more
Also increasing is the amount Chinese tourists are spending while in New Zealand. They are also becoming more independent travellers. It is interesting to note that New Zealand gained more economic benefit from Chinese tourists visiting New Zealand during the 2015 Chinese New Year holiday period than we did from the 2015 Cricket World Cup.
Source: Statistics NZ

16. Less than 3% of Chinese citizens hold a passport.
With less than 3% of Chinese citizens currently holding a passport, there is real potential for growth in the Chinese tourist market and Asian tourist market generally.

17. International students from Asia
International education is one of New Zealand’s largest export revenue earners, contributing over NZ$2 billion annually to New Zealand’s export economy.
As you’ll be aware, the source of the majority of our international students comes from Asia.
In discussing how our careers and economy are increasingly connected to Asia there are a few things to keep in mind…
Source: Statistics NZ

18. We can’t be complacent
Firstly, we can’t be complacent in expecting that growth will just continue as a matter of course.
The rest of the world also wants, and is getting, a ‘piece of the pie’.
New Zealand and New Zealanders increasingly need specific skills, understanding and knowledge if we as a nation continue to benefit from the rapid rise of our Asian neighbours.
Source: Statistics NZ

19. Secondly, we shouldn’t just focus on China
Secondly, we shouldn’t just focus on China. Having a diverse approach in Asia is important.
We have an existing free trade agreement with the Association of South East Asian Nations (ASEAN) who recently formed the Asian Economic Community (AEC).
Already New Zealand sends about NZ$5 billion worth of exports to this group of nations.
With the middle class in Indonesia alone expected to increase from the current 45 million to about 135 million by 2030, South East Asia is increasingly an important market for New Zealand.
New Zealand also has a Free Trade Agreement (FTA) with Korea with negotiations with India underway.

20. Our daily lives are increasingly connected with Asia
Our economy and careers are increasingly connected with Asia.
Increasing numbers of New Zealanders are of Asian descent.
As we have seen, our economy and careers are increasingly connected with Asia.
When our students enter the workforce, the majority of them will engage with Asian peoples or cultures on a daily basis through their colleagues, connections or customers.
This will be due, not only to the rapid rise of the middle class in Asia, but also to the increasing number of New Zealanders who will be of Asian descent.

21. Permanent and long term
Permanent and long term migration from India and China has continued to increase over recent years.
Source: Statistics NZ

22. Currently 12% of New Zealanders are of Asian descent.
By 2026, 16% of New Zealanders will be of Asian descent.
By 2038, 21% of New Zealanders will be of Asian descent.
Currently about one in eight New Zealanders are of Asian descent.
This will increase over the next 20 years to about one in five New Zealanders being of Asian descent.

23. Currently, 23% of Aucklanders are of Asian descent.
By 2027, 27% of Aucklanders will be of Asian descent.
By 2038, 33% of Aucklanders will be of Asian descent.
In Auckland, the percentage of people of Asian descent is even higher.
Eventually one in three Aucklanders will be of Asian descent.

24. “New Zealanders need to translate their knowledge of how important Asia is into an inquisitiveness to learn more about countries and cultures. At the other end of the relationship, they’re fascinated by our culture, our country, our scenery and so on. I think our Asian partners and friends see the relationship quite differently from their end than how we see it from this end.” Rob Fyfe
With our daily lives increasingly being connected with Asia, many New Zealanders think it is important to be knowledgeable about Asian countries and cultures.
Allow time for people to read the quote

25. “What we have to have is a much more knowledgeable, well-rounded view of Asia and of Asians in New Zealand … than we are currently getting.” “If we’re going to be within the Asian sphere, then treating them as just a trade destination, and ‘It’s really good they send tourists here’, is not full engagement.” Steve Maharey
And this from Steve Maharey.
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26. 82% of New Zealanders believe it is important for New Zealand to develop cultural and economic links with the peoples and countries of Asia
Two-thirds of New Zealanders say they know little or nothing about Asia.
Even though Asia is seen as important, most New Zealanders know little about Asia as indicated by research conducted by Asia New Zealand Foundation in association with Colmar Brunton.

27. New Zealand’s future with Asia
We suggest you change the photo to students from your school
New Zealand’s future is increasingly connected to Asia. Our students will work, live and play in that future.
If we want them to thrive in life then it is up to us to prepare them for that future.

28. Equipping students to thrive with Asia.
Experiences
Languages
Knowledge
Asia New Zealand Foundation has identified three key areas that educators can equip their students to thrive with Asia:
Increasing their students’ knowledge and understanding about Asian countries, cultures and people.
Enabling students to learn an Asian language(s)
Providing experiences for students to connect with Asian cultures, languages and people both here in New Zealand and in Asia itself.
The Foundation has resources that can support us to develop our own school plan.
The last slide is an audio visual from the Foundation which sums up the main points from this presentation.

29. Click the video image to be hyperlinked to the online Vimeo video (you’ll need to be connected to the internet). If this does not work then copy and paste this link in to your browser -