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Vietnam aims for ASEAN Top 3 with its digital economy

Hanoi (VNA) – With a high digital economic growth rate of about 20% per year, and the fastest rise in e-commerce in the ASEAN region, Vietnam is moving close to the position of top three biggest countries in the ASEAN region in terms of its digital economy.
Vietnam has set a target of raising the contribution to the country’s GDP to 20% by 2025 and 30% five years later, with the proportion of digital economy in each industry and field reaching at least 10% by 2025 and doubling by 2030.
According to Tran Minh Tuan, Director of the Digital Economy and Digital Society Department under the Ministry of Information and Communications (MIC), in the 2000s, the concept of the digital economy focused only on the information and communications technology (ICT) industry. Now, it continues to spread to all industries and fields.
Tuan cited data from the MIC showing that by 2023, it accounted for about 16.5% of GDP, of which ICT industry made up nearly 60%.
International organisations assessed that Vietnam's digital economic growth rate is high at about 20% per year, three times the GDP growth rate. Particularly, Vietnam leads the ASEAN countries in the growth pace of e-commerce.
Vietnamese people's absorption into digital economic fields is increasing, pushing the country close to the position among the top 3 in the ASEAN region, said Tuan.
Hoang Viet Tien, Deputy Secretary of the Vietnam Digital Communication Association, said that Vietnam's Internet has gone through many stages of development, with digital transformation, especially in the development of AI in the next few years predicted to boom. Tien stressed the need for foundation and solutions to support the development of the infrastructure.
By now, the MIC has licensed three telecommunications service suppliers to launch 5G services. In the coming period, to successfully implement digital transformation and digital infrastructure, providers need to work out user-friendly solutions, Tien said, adding that State management agencies should issue appropriate decrees, circulars, and instructions.
Ericsson Vietnam estimated that 5G will account for about 50% of Vietnam's mobile subscribers by 2029. Currently, more than 25% of the data traffic is transmitted via 5G.
President and CEO of Ericsson Vietnam Rita Mokbel said that with its global experience and leadership in 5G deployment, Ericsson is ready to support its commercialisation in Vietnam. Ericsson is currently working closely with local operators and enterprises to develop use cases tailored to Vietnam's specific needs, she said.
Meanwhile, Eric Yeo, Country Manager for Amazon Web Services Vietnam, said that his firm wants to cooperate with Vietnamese telecommunications operators to provide technology, expertise, and experience in building infrastructure and improving the skills of the workforce, helping telecommunications operators maximise profits from 5G investment.
Nguyen Tuan Huy, head of the Digital Tranformation Department of MobiFone, said that the overal goal of digital transformation is to improve business efficiency, increase labour productivity, and work performance, and to enhance service quality for customers.
Digital transformation is not simply the use of digital technology in socioeconomic activities but also the process of establishing a new, advanced, and modern production method, in which AI, IOT, Big Data, and Cloud are important production tools in a variety of industries and fields, he stated./.
Source: Vietnam Plus. Link: Here
Image Source:  Vietnam Plus, Pixabay 

Cambodia doubles down on power infrastructure development

The government is actively working to expand its power generation and transmission capabilities to meet the country’s growing energy demands, said Keo Rottanak, Minister of Mines and Energy.

If Cambodia does not work hard to build electricity infrastructure, it will face many problems, especially in the process of social development and attracting investors, Rottanak said.

Cambodia needs 70 percent of its electricity from clean energy to ensure stable electricity prices, the process of industrial development and attract foreign investment, he said.

“Significant progress has been made in constructing new power sources and upgrading the national power grid in strategic locations,” Rottanak said during a groundbreaking ceremony of the 900 MW LPG-fueled power plant in Koh Kong province’s Botum Sakor district on Wednesday.

The minister said that Cambodia is looking forward to maintaining a stable supply of electricity and wants to get power from clean power sources to be converted into electricity and reduce sales prices to the people as well as to private companies.

The Royal Government of the 7th mandate has put in place a number of policies and budgets to build enough electricity to meet future needs, especially energy sources generated from green energy.

Cambodia aims to increase its renewable energy share to at least 70 percent by 2030, contributing to environmental goals and economic growth, with a particular focus on energy efficiency.


For full article, please read here



Reporter: Chea Vanyuth

Source: Khmer Times 

New standards on textiles eyed for adoption

The Bureau of Philippine Standards (BPS) of the Department of Trade and Industry (DTI) is seeking feedback from stakeholders on recommendations to adopt several new standards on textiles.

In a notice, the BPS identified five international standards on textiles published by the International Organization for Standardization (ISO) which are intended for adoption as Philippine National Standards.

The first is ISO 105-B02:2014 specifying a method intended for determining the effect on the color of textiles of all kinds and in all forms to the action of an artificial light source representative of natural daylight.

Another is ISO 105-C06:2010 which sets out methods intended for determining the resistance of the color of textiles to domestic or commercial laundering procedures used for normal household articles using a reference detergent.

The third is ISO 105-E04:2013 defining a method for determining the resistance of the color of textiles to the action of human perspiration.  

Others are ISO 105-X12:2016 specifying a method for determining the resistance of the color of textiles of all kinds to rubbing off and staining other materials; and ISO 6330:2021 defining domestic washing and drying procedures for textile testing.

“The adoption of international standards as Philippine National Standards (PNS) is in line with good standardization practice and is consistent with the Philippines’ commitment to the World Trade Organization Technical Barriers to Trade (WTO TBT) agreement,” the BPS said.

It said the adoption will also facilitate immediate access to international standards by the local companies, industries, academe, consumers and other stakeholders.

The BPS encouraged stakeholders to send their inputs or concerns pertaining to the intent or recommendation to adopt these new standards on textiles to their 1BPS portal account in the website (standardsph.dti.gov.ph) on or before Dec. 2.

Firms urged to get ready to comply with requirements of EU’s deforestation regulation

Companies doing business in the European Union are advised to get ready to comply with the requirements of its deforestation regulation which come into effect this Dec. 30.

Michaela Summerer, junior professional officer at International Trade Centre (ITC), said the European Union Deforestation Regulation (EUDR) prohibits the placing or making available listed commodities and products on the EU market or exporting them from the EU, unless they are deforestation-free and have been also produced in accordance with relevant legislation of the country of production. 

Summerer said the scope of the EUDR are seven commodities representing the largest share of EU-driven deforestation –palm oil, soy, wood, cocoa, coffee, cattle and rubber– and many derived products such as leather, chocolate and furniture.

She said there is foreseen inclusion of additional products in the regulation’s scope after the completion of one-year review by June 2025, with particular consideration of maize and biodiesel.
 
“This hasn’t been confirmed yet but this is something that is already part of the regulation. So there will be a regular review of the regulation itself and the impact it has and then potentially more commodities and products will be included under the scope,” she said in a workshop organized by the Department of Trade and Industry-Export Marketing Bureau.

Mathieu Lamolle, Senior Advisor Sustainability Standards and Value Chains at ITC, said the main requirements of EUDR include data-collection on deforestation-free and those ensuring that products can be legally produced.

Lamolle said products must be produced on land that has not been subject to deforestation after Dec. 31, 2020.    

“For any deforestation that had occurred after December 2020, those products would not be permitted, allowed to go into the EU market,” he said. “And deforestation is basically defined in the regulation as being the conversion of the forest into an agricultural use, whether human-induced or not.”

On the legality requirement, Lamolle said products must be produced in accordance with laws on land use rights; environmental protection; forest-related rules, including forest management and biodiversity and conservation; and tax anti-corruption, trade and customs regulations, among others.

He also advised businesses to conduct risk assessment to ensure that the information that they are collecting mostly from their suppliers is accurate and reliable, and then risk mitigation.

“So in case there is any risk, that the information would be incomplete or there would be some deforestation link to the product, those operators have the legal obligation to risk assessment and risk mitigation. So this is very important to understand that the liability is to the operators, they will face sanctions in case there are inspections and they realize that the products are not (deforestation)-free,” he added.

Lamolle said operators or companies placing listed products on the EU market must also submit   a due diligence statement to the EU register containing information on products, confirming that due diligence was carried out, and that no or only negligible risk of non-compliance was found.

“Due diligence statement is actually the certificate, the self declaration that the company, the operator has done everything possible to ensure that there is no deforestation associated with their products and once they have done the due diligence statement, the declaration that they are all fine, then only they can start placing the product on the EU market,” he said.

In cases of non-compliance, Summerer said penalties must be “effective, proportionate and dissuasive”.

“Can include fines, confiscation of products, confiscation of revenues and temporary exclusion from public procurement processes,” she said.

Next lap of Asean-South Korea ties to focus on tech, clean energy

SEOUL - South Korea, a regional technology powerhouse, wants to partner South-east Asia as the region embraces the latest innovations in fields ranging from artificial intelligence (AI) to clean energy.

It is what President Yoon Suk Yeol calls among the “most noteworthy outcomes” under an Asean-South Korea comprehensive strategic partnership (CSP) that will be established at the Asean meetings in Vientiane, Laos, later this week.

In an exclusive interview with The Straits Times, he said: “With Asean being one of the fastest-growing digital markets in the world, mutually beneficial cooperation in the digital sector will create a synergy that brings tangible benefits to our peoples.”

South Korea, home to global leading tech companies such as Samsung Electronics, SK Hynix and LG Electronics, is known for its innovative technology in advanced semiconductors, AI and quantum computing.

Mr Yoon said the country can help Asean by building high-performance computing infrastructure and data ecosystems, and training skilled workers in digital technology and AI.

“In addition, South Korea aims to support the Asean member states in their efforts to build capacity against the ever-increasing threat of cyber attacks by helping promote education in cyber security, and train experts in this field,” he said in written replies to questions from ST. “Through these efforts, Korea will become a key partner of Asean’s digital transformation.”

Mr Yoon is on a six-day trip to South-east Asia from Oct 6 to 11, visiting Manila, Singapore and Laos. He arrived in Singapore from Manila on Oct 7 and will depart for Vientiane on Oct 9 for the annual Asean meetings.

The CSP, to be established on the 35th anniversary of dialogue relations, elevates the Asean-South Korea relationship to the same level as that of the bloc’s with the other Asean Plus Three dialogue partners. Asean and China established a CSP in 2021, while ties with Japan were upgraded to the same level in 2023. 

At a time of rising geopolitical tensions in the region, one of the key outcomes being called for by the South Korean leader under the CSP is “strategic coordination with Asean in politics and security”. 

South Korea will actively participate in joint military exercises with Asean – the bloc held its first exercise in September 2023 focusing on humanitarian relief – step up defence industry cooperation, and work with Asean to jointly address emerging threats such as cyber and transnational crime, Mr Yoon said.

He added that South Korea “highly appreciates” how Asean has spoken “in one voice” to urge North Korea to halt its nuclear and missile development, which violates United Nations Security Council resolutions.

Another challenge facing Asean is the “economic and social impacts of climate change”, said the South Korean leader. 

South Korea aims to share technology for clean energy with Asean and broaden its investments beyond traditional sectors like textiles and chemicals to focus on electric vehicles, batteries and biotechnology, said Mr Yoon.

With the Partnership for Asean-South Korea Methane Action launched in 2023, Mr Yoon said: “South Korea is striving to share its clean energy technologies with Asean while helping to redouble the efforts to reduce methane emissions, one of the main causes of global warming.

“Moreover, South Korea will help Asean achieve carbon neutrality and green transition through a variety of projects aimed at alleviating air pollution and reducing carbon emissions through forestation.”

Other key areas of cooperation under the CSP will be to enhance the Asean-ROK (Republic of Korea) Free Trade Agreement (FTA) as well as people-to-people exchanges and cultural cooperation.

Asean is South Korea’s second-largest trading partner after China, with bilateral trade having more than tripled since the Asean-South Korea FTA took effect in 2007. 

About 6,000 South Korean businesses have a presence in Asean, representing nearly half of all South Korean enterprises in overseas markets. Asean is the country’s second-largest investment destination after the US.

South Korea’s cumulative investment in Asean stands at approximately US$150 billion (S$195 billion), and is projected to surpass US$200 billion within the next five years. 

With challenges such as digital transformation, supply chain security and climate change, Mr Yoon told ST he believes that the South Korean and Asean partnership needs to evolve beyond trade to include economic security. “I believe the Asean-ROK FTA can serve as a pivotal platform in this effort,” he said.

Shared challenges: Deepfakes, shrinking populations 

In Singapore, he and Prime Minister Lawrence Wong will witness the signing of an extradition treaty and the exchange of several memorandums of understanding to enhance cooperation in areas including trade, start-ups, energy, food safety and technology. 

In the written interview, Mr Yoon said he looks forward to the two countries closely collaborating, including in intelligence sharing to combat the proliferation of illegal digital content and drug use.

South Korea has been rocked by a series of deepfake porn crimes, with most of the perpetrators being teenage boys.

According to data from its education ministry, 799 students from elementary to high school fell victim to deepfake videos in 2024, along with 31 teachers.

South Korea’s National Assembly passed a Bill on Sept 25, seeking a jail sentence of up to three years or a fine of up to 30 million won (S$29,000) for people found knowingly possessing or viewing deepfake porn.

In Singapore, PM Wong announced on Oct 1 that a government agency will be set up by 2025 to help victims of such crimes, and a new law will improve protection for victims.

Mr Yoon said: “Both countries are facing serious social problems caused by the proliferation of illegal digital content and drug use. As advocates of the rule of law, South Korea and Singapore will work together to enable close collaboration including intelligence sharing between law enforcement authorities, along with the strict enforcement of the law.”

Mr Yoon, who had discussions with PM Wong at the virtual AI Seoul Summit in May, said the two countries are “optimal partners” in efforts to establish global norms on AI.

Establishing a green economy is key to sustainable development, as is addressing low birth rates, which Mr Yoon said are common goals shared by South Korea and Singapore.

Both countries concluded a memorandum of understanding on green economy cooperation in 2023 and are among the countries that signed the Indo-Pacific Economic Framework Clean Economy Agreement in June 2024. 

Mr Yoon said he looked forward to expanding cooperation with Singapore in these areas, including exchanging policy insights on issues such as childcare leave and a more open stance on immigration to mitigate demographic issues.

He is accompanied on his visit to Singapore by First Lady Kim Keon Hee, senior government officials and business leaders, including Samsung Electronics chairman Lee Jae-yong and Hyundai Motor Group chairman Chung Eui-sun.

Mr Yoon, a well-known foodie, said he hopes to tuck into Hainanese chicken rice and satay.

He recalled visiting Singapore in 2003 during a stopover at Changi Airport and being deeply impressed by Singapore’s “cultural diversity and dynamism” during his walk downtown, where he came across “many different places of worship all together in one area”. 

He said: “I have studied various Singaporean models of government reforms, educational innovations and urban development. I believe that mutual interest and understanding between South Korea and Singapore will significantly help strengthen cooperation in various fields going forward.”

Source: The Straits Times
Link: Here

October 08, 2024

South-east Asia emerges as global data centre hot spot as AI usage rises

SINGAPORE – The world’s largest technology firms are flocking to South-east Asia to build data centres at a time when demand for infrastructure and computing power to enable artificial intelligence (AI) is rapidly rising.

The new investments are expected to contribute to the region’s economies by creating skilled jobs in data centre construction, engineering and maintenance, while also developing specialised talent in AI, cyber security, and data science and management.

The investments will also improve the region’s digital infrastructure, allowing small businesses and large institutions to store their data locally, significantly reducing downtime while increasing data sovereignty.

With AI-supported innovations such as searches on ChatGPT now requiring at least four to five times more processing capacity compared with traditional internet searches, data centre demand is expected to grow at around 20 per cent a year for the next five to seven years, analysts at Maybank noted in an October report.

Data centres are large facilities built to accommodate servers, data storage systems and networking equipment that support better internet services and telecommunications.

This, in turn, enables popular online activities such as gaming, live-streaming and investing, as well as more advanced technologies like cloud computing and AI.

Thanks to its lower costs, power availability and geopolitical neutrality, South-east Asia is emerging as an ideal region for tech operators to establish a data centre base, with the top five countries being Singapore, Malaysia, Thailand, Indonesia and Vietnam.

While Singapore is the preferred destination for hosting data centres due to superior infrastructure and a stable regulatory regime, the Republic had imposed a three-year halt on data centre construction between 2019 and 2022 to assess its impact on the environment.

Malaysia seized the bulk of new data centre investments entering the region during that period, and now expects facilities with around one gigawatt (GW) of power capacity to come online over the next two years.

That is double the existing data centre capacity it currently has.

Another 3GW has also been announced and, if approved, will be gradually rolled out in the next three to five years, RHB Bank said.

In comparison, Singapore’s data centre capacity currently stands at around 1.4GW.

Among those channelling capital into Malaysia are tech titans like Microsoft, which said in May that it will invest US$2.2 billion (S$2.9 billion) over the next four years to build cloud and AI infrastructure in the country.

Amazon Web Services (AWS) in August announced plans to invest an estimated US$6.2 billion to set up a data centre and cloud region in Malaysia.

The cloud service provider is also developing a similar region in Thailand. It revealed plans in 2024 to invest US$5 billion in data centres in the country over the next few years, making Thailand its fourth AWS region in Asean after Singapore, Indonesia and Malaysia.

In September, Google said it would invest US$1 billion to build a data centre and cloud region in Thailand, which has so far seen around US$9 billion committed by operators, according to analysts at Morgan Stanley.

By 2028, RHB expects Malaysia to account for over half the data centre processing power across the top five South-east Asian markets, with data centres in Johor making up the bulk of inventories at over 2.3GW.

That could put the Malaysian state in close competition with Singapore as a data centre hub for the region.

After partially lifting its moratorium in 2022, Singapore awarded around 80MW of new capacity to Equinix, GDS, Microsoft and an AirTrunk-ByteDance consortium in July 2023. In May, the Government announced that at least 300MW of data centre capacity may soon be provided.

Still, the Republic has signalled that it will be more selective when awarding new capacity moving forward.

Speaking at a conference in May, then Senior Minister of State for Communications and Information Janil Puthucheary said data centres are collectively Singapore’s biggest indirect carbon emitter.

He added that existing data centres currently contribute to 82 per cent of the information and communications sector’s carbon emissions, and 7 per cent of the country’s total electricity consumption.

However, Dr Janil said Singapore may still award an additional 200MW of capacity to operators that are able to tap green sources of energy to run the facilities, and will provide schemes and incentives to support such investments.

Mr Dedi Iskandar, head of data centre solutions at property investment adviser CBRE, asked that the authorities provide more clarity on this front.

“The industry does not have a clear picture of what’s next after the additional capacity was announced in May, or when we can bid or how. We haven’t seen this information coming, and that has created uncertainty,” he said.

“When data centre operators have no line of sight, they cannot make plans to invest in Singapore.”

Mr Dedi said that while Singapore is still the preferred destination for hosting mission-critical computing applications, Johor, which still struggles with issues like talent and water shortages, is improving quickly.

The highest risk for Singapore arises when the price gap for building and operating a data centre compared with Johor becomes too significant, and when the quality of data centre services between the two markets narrows, he said.

CBRE data showed the average construction cost for a data centre in Singapore now stands at around US$11.40 per watt, the highest among nine cities in Asia, while in Johor, the average cost is around US$8.40 per watt. Energy and land costs in Johor are also among the lowest in the region.

“This will naturally spur more enterprises to move their data centre operations from Singapore to Johor,” Mr Dedi said.

When asked for updates and views, the Economic Development Board and Infocomm Media Development Authority declined to comment.

Source: The Straits Times
Link: Here

October 14, 2024

Vietnam greatly values ASEAN-US Comprehensive Strategic Partnership

VOV.VN - Vietnam appreciates the importance of the ASEAN-US Comprehensive Strategic Partnership, expecting the United States to go ahead with deep and active participation in the region.
Prime Minister Pham Minh Chinh led a Vietnamese delegation to attend the 12th ASEAN-US Summit in Vientiane, Laos, on October 11.

Representing the US President at the event, US Secretary of State Anthony Blinken affirmed that ASEAN holds a central position in the vision of an open, secure, and prosperous Indo-Pacific region, highly appreciating the importance of the ASEAN-US Comprehensive Strategic Partnership as it promotes connectivity of economic co-operation opportunities, innovative technology, creates more jobs, and brings a better life to one billion people of both sides.

Secretary Blinken emphasized that the US will continue to work alongside and support ASEAN in preventing epidemics; upgrading the regional power grid; combating cybercrime and online fraud; promoting safe, secure, and reliable artificial intelligence; as well as intensifying cultural exchanges. He also expressed his delight that the Young Southeast Asian Leaders Initiative, after 10 years of establishment, continues to grow with an increasing number of members.

The summit praised the US for making strong and long-term commitment to the bloc and the region over recent times, supporting ASEAN's centrality, actively participating in constructive dialogue, co-operation, and building trust in the region. It therefore welcomed the US continued active support in building the community, integrating, connecting, developing the sub-region, narrowing the development gap, and responding to challenges, including through the Mekong-US Partnership (MUSP) framework.

The countries hailed the positive progress made in co-operation over recent times. The ASEAN-US Plan of Action for the 2021 to 2025 period has been actively carried out, fulfilling 98.37%. In 2023, the US represented ASEAN's largest investment partner, with more than 6,200 US businesses operating in the regional grouping, with a total foreign direct investment of US$74.3 billion. It was also the bloc’s second largest trading partner with a total two-way trade turnover of US$395.9 billion.

Economic initiatives such as the ASEAN-US Trade and Investment Framework Agreement (TIFA) and the US-ASEAN Expanded Economic Engagement (E3) Initiative provide a basis for augmenting linkages in areas such as the digital economy, the development of small and medium enterprises (SMEs), and trade facilitation.

Moving forward, the two sides agreed to continue ramping up substantive and effective ties, on a par with the level of the Comprehensive Strategic Partnership, prioritizing the promotion of trade, investment, science and technology, innovation, digital transformation, artificial intelligence (AI) governance, healthcare, energy, the environment, and climate change response. This is as a contribution to the rapid, sustainable, and long-term development of the region as a whole.

At the conference, the Vietnamese side stated its high appreciation for the importance of the ASEAN-US Comprehensive Strategic Partnership, expecting the US to continue to deeply and actively participate in the region, make a responsible and long-term commitment to ASEAN, and supporting the regional bloc in building the community. This is along with promoting its centrality in shaping an open, inclusive, and transparent regional structure that upholds international law.

Outlining orientations for the future development of the relationship, the nation proposed that both sides step up collaboration in a bid to create a prosperous and sustainable future. Accordingly, economic-trade-investment co-operation will be the focus and driving force, which needs to be promoted in an effective, harmonious, and sustainable fashion, thereby intensifying market opening for exports and being ready to welcome more investors from the US.

It can be seen as necessary to beef up co-operation in responding to climate change and enhancing resilience to natural disasters and catastrophes.

The country therefore welcomes the US for continuing to support the development of the Mekong sub-region through the Mekong-US Partnership framework, including increasing resilience to climate change in Vietnam's Mekong Delta.

Moreover, the country has suggested exerting greater efforts and allocating appropriate resources to make science, technology, and innovation co-operation a new pillar in the US-ASEAN relationship, thereby opening up new development space, and creating breakthroughs to promote the rapid and sustainable development of the Comprehensive Strategic Partnership between the two sides. Accordingly, it welcomes further opportunities with US corporations and technology firms, especially in the fields of semiconductor industry and AI.

The country has proposed that ASEAN and the US work to strengthen co-ordination and contribute more to peace, security, and stability in the region. It also called on the US to continue supporting the bloc’s common stance on the East Sea, working together to ensure peace, security, and stability in the region, including the East Sea, and backing efforts to swiftly achieve an effective and substantive Code of Conduct in the East Sea (COC) in line with international law, especially the 1982 UNCLOS. This will contribute to building the East Sea into a sea of ​​peace, stability, co-operation, and sustainable development.

Concluding the event, the leaders adopted the ASEAN-US Leaders' Statement on promoting safe, secure, and trustworthy AI.
Source : VOV 
Link: here

Cambodians can now make QR payments in Malaysia

Cambodia and Malaysia have officially announced a cross-border payment project using QR Code technology. The initiative aims to provide Cambodian tourists and investors with more efficient and secure payment methods while in Malaysia.

The National Bank of Cambodia (NBC) and the Central Bank of Malaysia officially launched the cross-border QR Code payment system between the two countries on September 19.

The Phnom Penh launch ceremony was presided over by NBC governor Chea Serey and her Malaysian counterpart Abdul Rasheed Ghaffour.

According to the NBC, the project is being implemented in two phases.

As the first phase is now complete, Cambodian citizens can now make payments for goods and services in Malaysia by simply scanning the DuitNow QR Code displayed by merchants using the Bakong or Maybank mobile apps.

At the completion of the second phase, Malaysian citizens will be able to make payments for goods and services to Cambodian merchants while in Cambodia.

Serey explained that the cross-border payment initiative provides convenience, speed and security for Cambodians making cross-border transactions when travelling to Malaysia. 

Cambodian citizens holding riel accounts can make payments using Khmer riel (KHR) as the base currency, while the settlement currency will be the Malaysian ringgit (MYR).

“This project will play a significant role in promoting trade and financial activities between the two countries, demonstrating a key step towards achieving the ASEAN Economic Community’s vision for interconnected retail payment systems that are fast, efficient and secure,” she added.

Rasheed Ghaffour emphasised that the connection of QR Code payment systems will enable faster and more efficient cross-border transactions between the two countries.

Cambodia also has similar arrangements with Thailand, Vietnam, Laos, China and South Korea.

For the authentic article, please read here
Source: The Phnom Penh Post 

ASEAN Free Trade Agreement spurs growth in regional trade by 21 percent

Trading among ASEAN countries has made significant strides since the ASEAN Free Trade Area was established in 1992 and is set to grow further in the coming years.

The surge in trade was underscored by Laos’ Minister of Industry and Commerce, Mr Malaythong Kommasith, when he chaired the 56th ASEAN Economic Minister Meeting (AEM) and 38th ASEAN Free Trade Area Council Meeting in Vientiane on Monday.

ASEAN has eliminated tariffs on almost all products, comprising 98.6 percent of all tariff items, and is continuing to refine the ASEAN Single Window Tax Notification System, in order to reduce trade costs and facilitate business in the region, Mr Malaythong said.

These measures have led to a marked growth in trade, with the value of inter-ASEAN trade in 2023 reaching US$759 billion, accounting for 21.5 percent of the total value of trade by ASEAN countries.

Mr Malaythong said he greatly appreciated the fact that this achievement was due to the strong leadership of ASEAN Economic Community Senior Officials and related sectors, which have implemented commitments under the ASEAN Trade Agreement and the ASEAN Programme to ensure the success of the ASEAN Economic Community Master Plan for 2025.

“In the past year, we have fulfilled work plans on the creation of the ASEAN Free Trade Zone and achieved many goals. In particular, we were able to resolve issues arising from the ASEAN Trade Agreement and the use of electronic trade documents through the ASEAN Single Window Tax Notification Service System,” he said.

He also highlighted the progress of negotiations to upgrade the ASEAN Trade Agreement which he hoped would be completed in 2025 as scheduled.

To broaden and deepen regional trade and further integrate trade, the meeting will consider and adopt a report from the ASEAN Economic Senior Officials Committee, a report from the negotiating committee on the upgrade of the ASEAN Trade Agreement, and the joint statement of the 38th AFTA Council Meeting, Mr Malaythong said.

He invited ministers attending the meeting to make constructive comments towards resolving various issues and to recommend clear directions for future progress by creating a favourable environment for the development of trade in the region.

For authentic article, please read here


Source: The Phnom Penh Post 

Islamic finance crucial driver of economic progress in Brunei

Brunei’s Islamic finance sector has experienced substantial growth, mirroring global trends.
 
Despite global challenges, Islamic finance has shown remarkable resilience, where 
Islamic financial assets worldwide have surged by 69 per cent in the last five years, with the global industry projected to reach USD5.9 trillion by 2026. 
 

Reflecting this global growth, over half of Brunei’s total financial sector assets were held by Islamic financial institutions, reaching BND13.3 billion in 2023, predominantly driven by banks and financial institutions, which account for more than 95 per cent of Islamic financial assets, while Takaful entities represent just under 5 per cent.
 
Minister at the Prime Minister’s Office and Minister of Finance and Economy II Dato Seri Setia Dr Awang Haji Mohammad Amin Liew bin Abdullah shared this in his speech at the opening ceremony of Islamic Development Bank (IsDB) Group Day held at Balai Khazanah Islam Sultan Haji Hassanal Bolkiah on Thursday.
 


Source: Borneo Bulletin

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Muara Container Terminal expansion targeted for completion by Q2 2027

The new Muara Container Terminal which will double the port’s capacity to 500,000 TEUs (twenty-foot equivalent units) annually is expected to be completed by the second quarter of 2027, following a groundbreaking ceremony on 24 August.

The expanded capacity and facilities will position Muara Port to capitalise on regional growth opportunities, establishing Brunei as a regional shipping and transshipment hub, said Minister at the Prime Minister’s Office and Second Minister of Finance and Economy, YB Dato Seri Setia Dr. Awg Hj Md Amin Liew Abdullah, in his speech at the ceremony.

The Minister emphasised that the terminal expansion will not only increase overall throughput and accommodate larger vessels but will also contribute to growing the port’s value chain by offering additional logistics services.

This includes the construction of a 3.62-hectare Port Trade Zone (PTZ) within the new terminal, designed to streamline importing, production, and exporting for businesses using the port.

Source: Biz Brunei

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Cambodia’s first halal SEZ to meet local, global demands

Cambodia’s first halal-focused special economic zone (SEZ) project was launched on Saturday following the signing of several memorandums of understanding (MoU) between the private-sector partners; including local business conglomerate, the WorldBridge Group of Companies.

The specialized industrial zone project ‘Halal Park Cambodia’, is set to be constructed on a 267-hectare plot of land in Kandal Province, located in close proximity to the ongoing Funan Techo Canal (FTC).

The FTC will link the industrial zone to key export ports via the canal once completed in the coming years.

The inauguration ceremony for the new SEZ, held in Phnom Penh, was attended by key company representatives and local dignitaries, as well as representatives from regional national halal institutions such as the Central Islamic Commission of Thailand (CICOT), the Malaysian Islamic Development Department (JAKIM), the Johor Malaysian Islamic Commission (Majlis Agama Islam Negeri Johor), the Singapore Islamic Council (MUIS), the Indonesia Halal Product Assurance Organizing Body (BPJPH) and the Vietnam Halal Certification Authority.

The specialized production zone envisioned by the founders of the park aims to provide for growth in domestic demand for halal-certified products, chiefly including halal food and cosmetics, as well as opening export opportunities in the multi-trillion dollar global halal products market.

According to the project’s founder and chairman, Mohd Amin Mohd Zain, who addressed attendees at the zone’s opening ceremony last weekend, the first priority for the venture will include the establishment of a multi-level satellite halal central kitchen and dedicated halal zones, within a surrounding cluster of small to medium-sized businesses (SMEs).

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Reporter: James Whitehead 
Source: Khmer Times

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