The Association of Southeast Asian Nations (ASEAN) has reaffirmed its commitment to promoting inclusive business (IB) models that empower micro, small, and medium enterprises (MSMEs) and contribute to inclusive and sustainable development in the region.
ASEAN holds first high-level ministerial meeting on IB
On September 5, 2023, ASEAN hosted the first High-Level Ministerial Meeting for Ministers responsible for MSME development in ASEAN Member States (AMS). The meeting was held in conjunction with the Sixth ASEAN Inclusive Business Summit, which was hosted by Indonesia with the theme “Incentivising Businesses for Inclusive Growth.”
During the meeting, ASEAN member states adopted the “Declaration on Promoting Inclusive Business Models: Empowering Micro, Small, and Medium Enterprises for Equitable Growth.” In its statement, ASEAN recognized the important role of MSMEs in driving economic growth, fostering innovation, generating employment, and reducing poverty. It also acknowledged the contribution of large businesses in driving productivity and stimulating income-generation activities. Moreover, it highlighted the potential of the IB model in achieving economic, commercial, and social objectives.
ASEAN endorses plan of action for IB promotion
Guiding this high-level commitment is the Plan of Action for the Promotion of Inclusive Business in ASEAN (2023-2027), which was endorsed by the ASEAN Economic Ministers during the 55th ASEAN Economic Ministers’ Meeting on August 17, 2023 in Semarang, Indonesia. The Plan of Action will focus on four priority areas, namely:
- Strengthening policy advisory support for AMS to develop and adopt policies and strategies to promote IB
- Supporting businesses in developing and integrating inclusive and sustainable business models through coaching services to develop IB models and linking MSMEs to larger companies
- Establishment of financial vehicles to pilot innovative financing instruments to provide access to finance for inclusive businesses
- Establishing an ASEAN IB knowledge hub to generate awareness and share information and resources on IB
ASEAN presents awards to exemplary IB models
In collaboration with the ASEAN Business Advisory Council, ASEAN presented the ASEAN Inclusive Business Awards to ten businesses to showcase exemplary IB models from businesses across all the AMS. The awards recognized businesses that have integrated low-income communities into their value chains as suppliers, distributors, retailers, or customers. The awards also aimed to inspire other businesses to adopt similar practices and contribute to the achievement of the Sustainable Development Goals.
ASEAN prepares for transformative forces reshaping the global economy
The promotion of IB is part of ASEAN’s efforts to prepare for the transformative forces that are reshaping the global economic landscape. These include digitalization, green economy, and supply chain resilience. According to Le Luong Minh, the Secretary-General of ASEAN, these forces require ASEAN to advance towards inclusive growth and sustainable development. He said that ASEAN’s Economic Community Blueprint 2025 pictures a region that works for all – a resilient, inclusive, and people-oriented, people-centered economy.
