ASEAN SME NEWS

 
Latest ASEAN news

Government Relaxes Golden Visa Rules for Foreign Investors at IKN

Director general of immigration at the Law and Human Rights Ministry (Kemenkumham), Silmy Karim, said that the golden visa requirements have been eased for investors, especially foreign companies, wishing to invest in the new capital city Nusantara (IKN). Requirements for foreign companies wishing to invest in IKN have been lowered from a minimum investment of 25 million US dollars to US$5 million for a stay of 5 years while for a stay of 10 years, it has been lowered from US$50 million to US$10 million. In addition, foreign companies seeking to open branches or subsidiaries in the new national capital will be exempt from turnover requirements (sales value) at their parent companies — a requirement for foreign companies opening branches or subsidiaries outside IKN. The applications for visas with the E28F index can be submitted online via the website evisa.imigrasi.go.id.. A passport with a minimum validity of six months and a photograph will need to be attached with the application. The other documents that will need to be submitted include a statement of commitment to build a company at IKN with an investment value of at least US$5 million (for a stay of five years) or at least US$10 million (for a stay of 10 years). In January 2024, 62 golden visas were issued, Karim said. The director general expressed the hope that the policy could increase the quantum of investment entering IKN.

Source: click here

ASEAN-EU Agree to Intensify Trade and Investment Relations

The 24th ASEAN-EU Ministerial Meeting, held in Brussels, Belgium, on Feb 2, agreed to further intensify trade and investment relations between countries as the EU being ASEAN’s third-largest foreign investor and third-largest trading partner in 2022.During the meeting, ASEAN re-emphasized the importance of finding solutions to long-standing market access problems. Both parties also welcome opportunities to increase trade and investment through bilateral free trade agreements, strengthen connectivity and economic relations between the two regions, and increase sustainable development for both parties, such as through the ASEAN-EU Joint Working Group on Trade and Investment (JWG). ASEAN and the EU also reaffirmed the shared values and common interests that underlie the 47 years of ASEAN-EU Dialogue Relations and expressed satisfaction with the comprehensive and diverse nature of dynamic partnerships. Furthermore, ASEAN reaffirmed its ongoing commitment to support Timor-Leste joining ASEAN that is in line with the Roadmap for its full membership in the ASEAN. The meeting also noted that the EU's support for Timor-Leste joining the World Trade Organization (WTO) will help its integration into the global economy and regional architecture.
 
Source: click here

ASEAN for Business Jan 2024: ASEAN Sets Course for a Carbon Neutral Future

Learn more about the recently adopted ASEAN Strategy for Carbon Neutrality and the eight adopted strategies to accelerate ASEAN's journey to a carbon neutral future in the ASEAN for Business Bulletin January 2024 edition.

The bulletin also features the Opinion-editorial from Aparna Badharwaj and Marko Lackovic, Partner and Managing Director of Boston Consulting Group, on the strategy.

View and download the bulletin here.

‘Centre of gravity’ for regional aviation

Brunei Darussalam is “poised to be the aviation centre of gravity”, for the Southeast Asia region, according to AeroAsia Holdings Corporation, a company leading an international collaboration venture to support the country’s aviation industry.

A memorandum of understanding (MoU) was signed by AeroAsia with a number of other companies to support this development at a signing ceremony at The Rizqun International Hotel on Friday.

AeroAsia said that as of 2023, the aviation services market is valued at approximately USD130 billion, adding that Airbus projects that this valuation is expected to nearly double to USD255 billion by 2042.

Airbus forecasts a demand for 40,850 new passenger and freighter aircraft deliveries over the next 20 years. At the same time, Boeing projects that Southeast Asia will represent 70,000 new pilots, 130,000 new technicians and 210,000 new cabin crews between 2030 and 2042, according to the company.

It said the Sultanate is geographically located at the centre of Southeast Asia with a flight time radius of within three hours.

“Brunei represents a strategic base of operations to train aviation personnel and service aircrafts within the region,” it said.

Source: Borneo Bulletin

Read the full article here

Unleashing Brunei’s start-up potential

The inaugural Brunei Startup Summit 2024, held at The Rizqun International Hotel, Gadong yesterday, gathered local and international start-ups, aspiring entrepreneurs, industry experts, investors, and stakeholders.

Organised by the Brunei Economic Development Board (BEDB) in collaboration with Darussalam Enterprise (DARe) and the Brunei Innovation Lab (BIL), the summit aims to promote growth, collaboration and innovation within the Sultanate’s start-up ecosystem, under the theme ‘Innovate to Elevate: Charting the Path to a Future of Possibilities’.

Minister at the Prime Minister’s Office and Minister of Finance and Economy II Dato Seri Setia Dr Awang Haji Mohd Amin Liew bin Abdullah, as the Chairman of the BEDB and DARe, officiated the event.

Acting Chief Executive Officer (CEO) of BEDB and DARe Daniel Leong expressed gratitude to the stakeholders involved in coordinating the summit.

He highlighted the event’s goal of uniting start-ups, ecosystem builders, and venture builders to create a collaborative environment for mutual learning, sharing insights, discussing industry trends, and engaging in dialogue sessions.

Source: Borneo Bulletin

Read the full article here

BOI offers investment incentives to draw chip manufacturers

The Thai government is looking to attract investment in the chip industry, with the Board of Investment (BOI) planning to hold talks with major producers later this year.
The government has tasked the Industry Minister and the BOI to accelerate investment in upstream electronics industries such as chips.
The electronics industry is one of the three target industries identified by Prime Minister Srettha Thavisin. The aim is to attract investment to upgrade industries and technologies in Thailand in the fields of digital business, electronics and electric vehicles (EV).
The government has identified the chip industry as a key priority for its economic development plans. Chips are essential components for a wide range of modern industries, including electronics, automotive and telecommunications.
The Board of Investment is offering a range of incentives to attract chip investment, including tax breaks, land subsidies and support for workforce development, its secretary general Narit Therdsteerasukdi said.
Chips are becoming a global strategic product in the transition to smart electronics and digital, as well as in the development of generative AI and digital transformation, which has generated a huge demand for cloud services around the world, Narit added.
Investors have already chosen Thailand as the production base for both PCB (Printed Circuit Board) and PCBA (Printed Circuit Board Assembly), making Thailand the No. 1 production base in ASEAN and No. 2 in the region after China.
The BOI's talks with chip producers are expected to begin in the coming months. The government is targeting investments in both the production of finished chips and the manufacture of chip components.
The government believes that attracting chip investment will help to boost Thailand's economy and create jobs. The chip industry is expected to grow rapidly in the coming years, creating new opportunities for businesses and workers.
The BOI's efforts to attract chip investment are part of a broader government strategy to develop Thailand's manufacturing sector. The government is also targeting investment in other industries, such as electric vehicles, renewable energy, and biotechnology.

Source : THE NATION

Renewable incentives to be boosted

The Industry Ministry plans to revise investment incentive packages for companies in the RE100 group to better attract investors and serve new investment in the country.

Several hundred companies worldwide have joined RE100, a global renewable energy initiative that commits its members to using 100% renewable energy.
RE100 is in line with Thailand's plans to cut carbon dioxide emissions to build a low-carbon society by 2050, said Industry Minister Pimphattra Wichaikul.
"Authorities will discuss how to promote RE100 in Thailand because Thai and foreign investors are interested in clean energy, which is a global trend," she said.

In 2021, then prime minister Prayut Chan-o-cha vowed at the 26th UN Climate Change Conference that Thailand would be more serious in dealing with climate change, striving to reach carbon neutrality, a balance between carbon dioxide emissions and absorption, by 2050, along with a net-zero target, a balance between greenhouse gas emissions and absorption, by 2065.

Clean energy development must go together with the country's investment promotion.

Thailand is focusing on 12 targeted S-curve industries, including new-generation cars, notably electric vehicles, smart electronics and medical equipment.
The industries will be developed in the Eastern Economic Corridor (EEC), which covers Chon Buri, Rayong and Chachoengsao. The government wants to make the EEC the country's high-tech industrial hub.

"These industries have a high potential to grow in the future and most of them need renewable energy to support their manufacturing," said Ms Pimphattra.
The Industrial Estate Authority of Thailand (IEAT) will play an important role in helping facilitate and boost investment.
Veeris Ammarapala, governor of the IEAT, said his agency will develop new industrial areas and organise roadshows to introduce Thailand and its investment policies to prospective investors.

"The IEAT set a target to boost investment which must contribute 27% to the country's GDP by 2026," he said.

Source Bangkok Post

Thailand Gears up for FTA Discussions with EU in January

Thailand aims to finalize free trade agreement with EU within two years.
Thailand is gearing up to host the second round of discussions on a free trade agreement (FTA) with the European Union (EU) at the end of January. The goal is to reach an agreement within the next two years. The Department of Trade Negotiations Director-General, Chotima Iemsawasdikul, emphasized that the talks will prioritize liberalizing trade, investment, and services. The plan is to hold three meetings annually, with the aim of completing negotiations by 2025.

Recent developments in Thai-EU FTA negotiations
The first round of discussions took place in Brussels, Belgium, in September. The negotiations involved 19 expert-level subcommittees covering various trade aspects, including digital trade, intellectual property, and sustainable development. Commerce Minister Phumtham Wechayachai discussed the FTA with members of the European Parliament in Bangkok, expressing hope for their support in swiftly concluding and enforcing the Thai-EU FTA. Discussions also included green trade, environmental sustainability, and climate change issues.

Currently, the EU has signed FTA agreements with Vietnam and Singapore. And in the meantime, EU in talks with Indonesia. As for the EU-Thailand FTA, it is in the process of resuming negotiations. Like the EU FTA with Malaysia and the Philippines.

EU’s significant role in Thailand’s global trade
The EU is a crucial economic partner for Thailand, being the country’s fourth-largest trading partner. In the first ten months of the year, two-way trade between Thailand and the EU reached US$35 billion, accounting for 7.3% of Thailand’s total global trade. Thailand’s exports to the EU, including computers and rubber products, were valued at $18.2 billion, with imports from the EU, such as machinery and medical products, totaling $16.7 billion. The EU’s approval is vital for the FTA, and recent interactions underscore the EU’s keen interest in Thailand as an economic partner.

Cambodia's Trade talks with Saudi Arabia set to commence

Cambodia and Saudi Arabia are set to hold discussions on the draft of a memorandum of understanding (MoU) on the promotion of trade relations between the two countries. 

The step comes on the heels of an imminent agreement with the United Arab Emirates (UAE) as the country aims to advance work in the Middle East in line with the government’s directive to enhance trade, tourism and investment.

Penn Sovicheat, spokesperson for the Ministry of Commerce, told The Post on January 17 that the authority held an internal meeting led by Tekreth Kamrang, a secretary of state at the ministry, to review the draft MoU on January 16. 

The move is intended to bolster trade and investment between the two countries and other Middle East nations.

“The internal discussion is to pave the way for negotiations to open a new market with Saudi Arabia. It will serve as a gateway to promote our products to Middle Eastern countries, while we are also [working with] the UAE on a Comprehensive Economic Partnership Agreement [CAM-UAE CEPA],” he said. 

“Reaching an agreement with these countries will not only expand our product range there but will also provide a gateway to African nations.

“We do believe that in the near future, there will be a significant increase in trade and investment from Arab countries. This will also enhance our ability to boost agricultural product exports to these and other surrounding nations,” he added.

To read full article, please click here.



Author: May Kunmakara

Source: The Phnom Penh Post

French firm to invest in wind energy sector - Cambodia


French firm The Blue Circle, a pioneer in wind power generation, is keen on investing in Cambodia, citing the country’s high potential in the sector.

This came as The Blue Circle team headed by President and Chief Executive Officer Olivier Duguet met Prime Minister Hun Manet on Monday in Paris.

During the meeting, Olivier Duguet briefed the Premier that his company has been exploring opportunities within the wind energy sector in many Asian countries including Cambodia.

The company has held talks with local partners to conduct a feasibility study in Cambodia and “found locations rich in air and speed suitable for generating power,” he said.

The CEO of The Blue Circle said the company has identified a number of locations that are suited for wind power investment – one located on top of Bokor Mountain in Kampot province and the other is in Mondulkiri province.

“The company will be able to generate a lot of electricity, in the first phase. It can initially produce 100 megawatts, which can be expanded in the future,” he said.

The company would like to ask for support and good cooperation with relevant partners in Cambodia and the support of the Royal Government on this wind power project, he emphasised.

“Cambodia will have access to more renewable energy sources in future and be able to export electricity abroad,” Olivier Duguet added.

For full article, please read here


Reporter: Chea Vanyuth 

Source: Khmer Times 

Thailand's joint business group sees 2.8-3.3 pct growth for 2024

Thailand's economy is expected to expand between 2.8 percent and 3.3 percent this year, a joint business group said on Wednesday, maintaining its previous projection.

The growth will be bolstered by government stimulus measures, such as a tax rebate scheme and the ongoing recovery in the tourism sector, which is anticipated to welcome up to 34 million foreign tourists in 2024, according to the Joint Standing Committee on Commerce, Industry and Banking (JSCCIB).

The global economy is facing increasing uncertainty due to geopolitical conflicts. These uncertainties are compounding the global slowdown, and make it necessary to monitor the impact on Thai exports, a key driver of the kingdom's economic growth, the JSCCIB said in a statement.

The JSCCIB noted that the government should accelerate the disbursement of the budget, implement additional stimulus measures, and coordinate with state enterprises and local governments to expedite the use of existing investment budgets to keep the economy moving forward.

For 2023, the Southeast Asian country's economy is expected to have expanded between 2.5 percent and 3.0 percent, as projected earlier, the JSCCIB said.

 

Source : Xinhua

Cambodia’s agritech segment draws huge investors’ interest

The Kingdom’s agritech segment is drawing huge interest from the part of investors, according to EcoBusiness, a digital platform dedicated to sustainable development across the Asia-Pacific region.

The trend is attributed to the growing agritech startup ecosystem, deployment of the latest agricultural technologies as well as the role of agriculture in the country’s economic development. The number of active agritech startups has doubled between 2018 and 2022.

Among the investments in the sector which hogged the limelight include Azaylla, an agriculture supply chain platform, receiving an undisclosed amount of pre-series A funding from Singapore-based investor Insitor Partners.

Azaylla, works with smallholder farmers and co-operatives across the country to source fresh produce and the firm is expected to use the new funding to grow its sustainable and socially responsible agri-business network, leveraging technology to supply supermarkets, hotels, restaurants, and caterers with Cambodian agricultural products.

The country has been pioneering the latest technologies across the agriculture and water management areas including drip irrigation, sprinkler systems and water sensors.

Farmers have been using precision agriculture systems encompassing GPS, remote sensing and drones to gather data on soil conditions, crop health and pest infestation. According to the platform, the widespread use of smartphones has led to farmers accessing agricultural information through various mobile applications.

For full article, please read here



Author: Sreekanth Ravindran 

Source: Khmer Times

We use cookies to improve our service for you. You can find more information from our

privacy policy

Accept cookies