ASEAN at 50: a Historic Milestone for FDI and MNEs in ASEAN

In 50 years ASEAN has come a long way economically, in part because of the region’s deep participation in the world economy, including through inward and outward foreign direct investment (FDI). The level of FDI and the presence of multinational enterprises (MNEs) in ASEAN is formidable and will remain so in the future. This report tells ASEAN’s 50-year journey to becoming what it is now: a significant hub in MNE’s global production systems and value chain, and features how the enormous influx of FDI has driven economic growth, industrialisation and development across the region. The report also looks at the future of FDI and MNEs in ASEAN. Download the report...

ASEAN Investment Report 2017: Foreign Direct Investment and Economic Zones in ASEAN

The ASEAN Investment Report is a annual analytical report focusing on investment trends and prospects in ASEAN. This year’s Report examines the historical investment development of two Dialogue Partners of ASEAN, namely the European Union (EU) and India. Major multinational enterprises (MNEs) from these countries have been present in ASEAN in a wide range of industries. Many of them operate in multiple locations across the region in different segments of the value chains. The report also features the development of special economic zones (SEZs) in ASEAN, highlighting their roles in driving socioeconomic development and attracting foreign direct investment (FDI) into the region. Download the report...

Outsourcing Opportunities in ASEAN: Policy Paper

This Policy Paper highlights key recommended policy orientations to boost ASEAN’s competitiveness competitiveness with regard to outsourcing of goods and services and the rise of global value chains (GVCs). Firstly, it defines the context and introduces some key definitions relevant to outsourcing. Secondly, it presents a brief overview of services outsourcing trends in recent decades. Thirdly, it considers ASEAN competitiveness by analysing the new trade in value-added (TiVA) database, the constructed GVC Readiness Index, and modern global value chains. All together, this informs the final section of the Policy Paper, which analyses GVC related factors affecting ASEAN positioning and presents ASEAN-wide policy orientations post 2015. Outsourcing Opportunities in ASEAN: Policy...

Best Practices for Investment Promotion and Facilitation in ASEAN: General Paper

In order for ASEAN to enhance its attractiveness as an investment destination as envisioned in the AEC Blueprint 2025, ASEAN needs to boost its effort in investment promotion and facilitation. This paper aims to provide ASEAN Member States with a deeper understanding of regional and global ‘best practices’ in investment promotion and facilitation.  This deeper understanding may be used to guide current or future initiatives, whether at the regional, national or sub-national level, in order to facilitate freer flow of capital and investment. Specifically, this paper identifies best practices and lessons learned in the four core functions of Investment Promotion Agencies (IPAs): promotion, attraction, facilitation and aftercare. It proposes and examine opportunities for development of practical initiatives in two areas that are potential areas for practical initiatives by AMS: 1) Formal & Informal Ambassadorial and cultural networks; and 2) private sector partnerships. Separate reports on each of these areas are available through the Services and Investment Division of the ASEAN Secretariat. Download: Best Practices for Investment Promotion and Facilitation in ASEAN: General Paper  ...

ASEAN Investment Report 2016: Foreign Direct Investment and MSME Linkages

The ASEAN Investment Report is an annual report on investment and other related issues in the region. This year’s Report features the linkages between ASEAN Micro, Small and Medium Enterprises (MSMEs) and multinational enterprises (MNEs). It highlights the extent to which ASEAN MSMEs internationalise and, more importantly, why and how they do so. It also analyses the roles of ASEAN MSMEs in realising the goals of the ASEAN Economic Community and in improving the overall investment environment. The report was developed through collaboration with the ASEAN Secretariat and the United Nations Conference on Trade and Development (UNCTAD). The document was launched during the ASEAN Business and Investment Summit 2016, held alongside the 28th and 29th ASEAN Summit, in Vientiane, Lao PDR. Download...

ASEAN Investment Report 2015 – Infrastructure Investment and Connectivity

Foreign Direct Investment (FDI) into ASEAN has risen for the third consecutive year from $117.7 billion in 2013 to $136.2 billion in 2014. Despite a 16% decline of global FDI flows in 2014, ASEAN Member States have collectively received the largest FDI among developing countries. Due to robust regional economic fundamentals, cost advantages, regional integration, and on-going efforts to improve the investment environment in ASEAN, the region is now seen as a prime investment destination, attracting investments and influencing corporate strategies in the region. Investments from ASEAN Member States also continue to rise, reaching $24.4 billion in 2014 from $19.4 billion of the previous year. With intra-ASEAN investment accounting for 18% of the total FDI into the region, ASEAN is now the 2nd largest investor in its own region, manifesting greater interest from the business community to have a stronger regional presence in light of the establishment of the ASEAN Economic Community by the end of 2015. This 2015 ASEAN Investment Report focuses on infrastructure investment and connectivity – both critical in supporting ASEAN’s economic growth as they improve logistical efficiency, reduce transaction costs and support greater flow of trade and investment. Highlighting the important role of the private sector in helping governments to bridge the infrastructure gap in ASEAN and the linkages of various players across the infrastructure value chain, this Annual Report continues to provide useful updates on the latest developments in the ASEAN investment landscape. This report was prepared under a technical cooperation arrangement between the ASEAN Secretariat and the UNCTAD Division on Investment and Enterprise (DIAE). This report was published in 2015, and also currently available at the UNCTAD website. Download...