ASEAN-BAC Malaysia Aims To Strengthen Regional Economic Ties As Malaysia Assumes ASEAN Chairmanship

KUALA LUMPUR, Nov 26 (Bernama) -- The ASEAN Business Advisory Council (ASEAN-BAC) Malaysia is committed to fostering closer economic ties within the region as it prepares to assume the chairmanship next year. 

ASEAN-BAC Malaysia chairman Tan Sri Nazir Razak said that around 15 major initiatives are planned for the coming year, all aimed at enhancing regional integration.

“As the region’s economies remain fragmented, ASEAN-BAC’s focus is on reducing barriers to trade and investment among ASEAN countries. One key initiative is the notion of an ASEAN business entity to recognise companies operating in multiple ASEAN nations, allowing them to move freely between countries.

“The central argument is that while we may not be able to create free movement overall, we can still realise economies of scale for companies by allowing those branded as ASEAN business entities," he said. 

Nazir said this during the ‘World of Opportunites: Russia-ASEAN International Business Forum' plenary session entitled ‘Russia and ASEAN: Towards a New Stage of Trade and Economic Cooperation’ today.

He also highlighted the ASEAN-BAC membership serves as a partner, extending the region’s neutrality in foreign policy.

“In business, we aim to increase engagement with Russia and the rest of the world. Our companies are impartial. We will happily encourage ASEAN companies to explore opportunities in the Russian consumer market,” he said. 

Nazir also underscored the importance of maintaining connectivity in business and investment. 

Therefore, he said ASEAN-BAC is keen to see increased Russian investment in ASEAN given the region’s vast business potential.

“Maintaining these connections through shareholdings and investments is crucial. It allows us to extend businesses and relationships. For instance, Russia has significant capabilities in research and development, digital technology, and more.

“These technologies are valuable in enhancing the value of our businesses in the region. But I think the relationship must start at the shareholding level and then expand to the procurement level,” he said. 

In addition, Nazir outlined ASEAN-BAC’s agenda to advance digital trade, artificial intelligence, capital markets, venture capital, and private markets.

He emphasised the significant opportunities for Russian investment in ASEAN’s private market sector,  which includes small companies and small and medium enterprises. 

“This sector presents a great opportunity to provide both gross capital and venture capital. The opportunity is good, and I would like to invite Russian investors to invest in this space. 

Nazir concluded by stressing the importance of focusing on agriculture and food security as key priorities.

-- BERNAMA