ASEAN Investment Report 2018 published

Singapore – CACCI is pleased to share with its members a copy of the ASEAN Investment Report 2018, which was launched at the ASEAN Business and Investment Summit held in Singapore on November 12, 2018.

The ASEAN Investment Report is an annual report analysing investment and related issues in the region. It is prepared under a technical cooperation arrangement between the ASEAN Secretariat and the United Nations Conference on Trade and Development (UNCTAD).

The 2018 edition examines ASEAN’s rapidly growing digital economy backed by fast expanding digital networks. This year’s report also offers a dedicated chapter that examines the increasing trend of Australia’s Foreign Direct Investment (FDI) and Multinational Enterprise (MNE) activities in the region, highlighting Australia as a key partner of ASEAN.

Report Abstract

According to the Report, FDI flows to ASEAN rose to a record level, from $123 billion in 2016 to $137 billion in 2017, underpinned by significant rise in investment in eight Member States. As a result, ASEAN’s share of FDI flows to developing economies rose from 18 per cent in 2016 to 20 per cent in 2017. Of the total FDI flows to East and South-East Asia, ASEAN’s share also increased from 31 per cent in 2016 to 34 per cent in 2017. Intra-ASEAN investments, the biggest contributor to FDI flows in the region, reached a new high of $27 billion, or around 19 per cent to total inflows in the region.

An important development in ASEAN is the rising investment in the digital economy, which includes e-commerce, fintech, venture capital and other digital activities such as in the development of data centres and various information and communication technology (ICT) infrastructure. Foreign and ASEAN digital MNEs and ICT companies are now increasing their attention on the region. Greenfield non-manufacturing ICT investment projects have grown rapidly from $2.8 billion in 2010 to $3.9 billion in 2017, while cross-border ICT mergers and acquisitions rose from just $172 million in 2010 to $3.6 billion in 2017.

At the regional level, ASEAN Member States are intensifying cooperation to strengthen the competitiveness of their ICT industries, expand e-commerce and facilitate digital connectivity, including through working towards the signing of an ASEAN e-commerce agreement and adoption of an ASEAN Digital Integration Framework to facilitate transformation of the region into a competitive global digital hub.

Given the above developments and the promising prospect for investment in the digital economy in the region, this year’s ASEAN Investment Report is very timely.  The 2018 Report looks into the investment landscape and implications of digital economy and e-Commerce in ASEAN, and also discusses the policy options and digital economy strategy for the region.

ASEAN needs to keep the momentum of rising investment in the ICT sector by intensifying its collective effort to narrow the digital divide, develop digital skills, address logistical bottlenecks and payment systems, and manage the potential risks of the digital revolution, as it moves forward to embrace the fourth industrial revolution (4IR).

The ASEAN Investment Report 2018 can be downloaded HERE.

Jamshed Jumakhonzoda – Tajikistan CCI’s new chairman

Taipei – The Director General of CACCI, Mr. Ernest Lin, extended a congratulatory letter to Mr. Jamshed Jumakhonzoda, the new Chairman of the Chamber of Commerce and Industry of the Republic of Tajikistan (CCIRT.) The text of the missive is as follows:

New Economic Plan will ensure confidence on Turkey – Turkish Vice President Fuat Oktay

Istanbul – Turkish Vice-President Fuat Oktay said during the Opening Ceremony of the 32^nd CACCI Conference held on November 23-24, 2018 that “by applying powerful and practical action plans against the speculative attack on the Turkish economy, the New Economic Program will be firmly implemented for 2019-2021 to ensure confidence on Turkey as a global economic actor.”

Fuat Oktay conveyed Turkey’s President Recep Tayyip Erdogan’s greeting to the conference’s participants and voiced his pleasure at hosting the CACCI Conference in Istanbul. Under the auspices of Turkey Chambers and Commodity Exchanges (TOBB) and in cooperation with the Confederation of Asia-Pacific Chambers of Commerce and Industry (CACCI), the 2-day conference was considered a tremendous success for the quality of its speakers, the rank of special speakers and the content of the business discussions.

Turkish Vice President Fuat Oktay stated that the Asia-Pacific region is becoming the epicenter of world trade and that the Asia-Pacific countries’ share of the total global economy increased from 20 percent in 2001, to today’s 30 percent.

Oktay emphasized CACCI’s important role as a key chamber of commerce in the development of economic boundaries of Asia, regional economic integration and broadening consultation on new economic trends.

Vice-President Fuat Oktay also said that it is important to use the momentum in the conversion to sustainable partnerships in order to constitute economic value. “The participation of professional organizations in Turkey, the private sector, legal representatives, and TOBB as one of the most powerful members in CACCI is satisfactory” Turkish Vice-President added.

https://www.youtube.com/watch?v=xtuiGqylyNU&list=PLGMn_swJsQOJPCCeF0-y5GFYkTFAfWoZg&index=2&t=5s

Source: TOBB website https://www.tobb.org.tr/Sayfalar/Detay.php?rid=23991&lst=MansetListesi

“Strengthening Global Trade Through Reform”

Joint Statement of the Global Chamber Platform

16th Annual Gathering, 4th October 2018, Buenos Aires, Argentina

This year’s Global Economic Report released in March, visibly underlined the confidence of the Global Chamber Platform (GCP) in sustained economic growth for 2018. At a juncture in which world growth is slowly picking up steam after a strong 2017 that brought notably recoveries in investment, manufacturing, and trade, the Global Chamber Platform is optimistic that the economic momentum can be sustained throughout 2018. However, in its report the GCP also issued a stark warning against a further trade escalation and rising protectionism, being the number one perceived risk to the global economic recovery.

Since the report was released in March, trade tensions among major economies have unfortunately not eased. In fact it has worsened, with threats and rhetoric slowly martializing into higher tariffs and obstacles to cross border trade. This poses real risks in dampening growth perspectives and business confidence across the global economy. This past July, the WTO also released its annual report on trade restrictiveness measures of the G20 economies. Its findings further contribute to an increasingly worrying outlook for global business, as G20 economies continue to increase their trade restrictive measures in an already hostile climate for global trade.

In its report, the WTO found that the G20 applied 39 new trade-restrictive measures during the review period, which would equate to an average of almost six restrictive measures per month, a number which is significantly higher than the three measures recorded during the previous review period.

The Global Chamber Platform therefore calls on the G20 economies ahead of their November Summit in Buenos Aires, to reverse that worrying trend without delay by reducing considerably the imposition of new trade restrictive measures, in order to bring back predictability and certainty to global trade. By doing so the G20 should commit to expand trade facilitating measures and policies in order to help sustain the global economic upswing.

At the same time, the Global Chamber Platform expects a clear signal from this year’s G20, that political leaders are willing to collectively strengthen and uphold the rules based multilateral trading system by putting forward a credible path for its reform. There is a renewed sense of urgency that challenges to

the global economy need to be more adequately addressed a the global level, starting by resolving as soon as possible the deadlock at the Appellate Body and ensuring its proper functioning.

In addition a series of long standing systemic concerns underlying the current set of trade rules, a perceived lack of efficiency in the decision making procedures and governance structures, as well as the need for the negotiation agenda to deliver on the expectation of entrepreneurs, are all vital elements in that equation. In particular the following deserve increased focus:

* Reducing the timeframes for proceedings and consultation procedures at the WTO in order to deliver results quicker

* Ensuring the impartiality of arbitrators and AB members and the improving compliance with its rulings

* Improving transparency and compliance with existing notification requirements of WTO members

* Enhancing flexibilities in the decision making procedures where consensus continuously fails to deliver, such as considering the possibility for qualified majority voting.

At the same time, the negotiation agenda at the multilateral level needs to reflect business needs and be in line with topics that will move the economy of tomorrow. In this regard, the Global Chamber Platform has identified three main priority areas in its report, which can help guide policy makers and the G20 in identifying areas to be tackled at the WTO. These are:

* A better inclusion of SME’s (Small and Medium sized Enterprises) in global trade rules

* Rules for digital trade and e-commerce

* Increased services liberalization

The world has changed dramatically over past number of years in economic, political and technological terms. We have witnessed an increased importance of services, which has so far not been matched at the global level by a commensurate increase in commitments by WTO Members. We have equally witnessed the rapid pace of digitalization transforming almost every aspect of business life. However this development too, has so far not been accompanied by global rules, leading to a fragmentation of rules, as well as risks of discrimination and protectionism.

Lastly, we have also witnessed an exponential development of global value chains over the past years. Yet many SMEs are still struggling to adapt to this reality, with a significant gap between the number of existing SMEs with export potential and those that already export. As it is well documented by now, SMEs are not only engines for growth and critical to stimulate competitiveness in an economy, they are also one of the main sources of employment across the global economy.

Against this backdrop it is imperative that the policy makers send a strong signal by committing to an ambitious SME agenda at the WTO, in order to make the system more inclusive for the bulk of global enterprises. By doing so they should build on the outcomes of MC11 and the efforts undertaken by the “Friends of MSMEs”

MNCCI CEO becomes 1st Mongolian to receive Golden Camel Award

Hunan – Mrs. M.Oyunchimeg, CEO of the Mongolian National Chamber of Commerce and Industry (MNCCI) and Vice President of the Silk Road Chamber of International Commerce (SRCIC), has been awarded the SRCIC Golden Camel Award alongside five people including Mr. Jemal Inaishvili, President of the Confederation of Asia Pacific Chambers of Commerce and Industry (CACCI) and Mr. Peter Mihok, Chairperson of the ICC World Chambers Federation.

A ceremony of the award took place within the 2018 Silk Road Business Summit held on October 17 in Zhang Jiajie, with the attendance of 400 representatives from 84 countries and regions, SRCIC website has published.

During the one-day event, attendees from Chinese and foreign governments, international organizations and chambers of commerce explored the issues such as maintaining multilateral trade system, building an open world economy, creating a safe international business environment and promoting the development of traditional medicine.

Addressing at the opening ceremony, SRCIC Chairman Lu Jianzhong said as this year marks the 40th anniversary of China’s reform and opening-up, the 5th of the Belt and Road Initiative as well as the 30th of the founding of the city of Zhangjiajie, holding such event is of extraordinary significance, during which topics on deepening cooperation in the Belt and Road Initiative, developing an open world economy and building a community of common destiny for mankind will be discussed. One of the achievements of the summit is the release of the Zhangjiajie Consensus that aims to maintain multilateral trade system and promote an open world economy.

The consensus says that chambers of commerce of different countries should coordinate with their governments and corporations to take the opportunities brought by the BRI, set up platform for trade and investment cooperation and promote the implementation of the projects in order to facilitate the high-quality and sustainable development of the world economy.

Guided by China Council for the Promotion of International Trade, China NGO Network for International Exchanges and China Council for Brand Development, the summit is jointly organized by China Chamber of International Commerce, the government of Zhangjiajie, China Association for Friendship, China Council for the Promotion of International Trade Hunan sub-council and SRCIC.

Courtesy: Mongolian National Chamber of Commerce & Industry

Lub-rref renews BAB Accreditation

Dhaka – Lub-rref (Bangladesh) Ltd., a lifetime member of CACCI, has recently received its renewed Accreditation Certificate from Bangladesh Accreditation Board (BAB). Through this achievement, Lub-rref (Bangladesh) Ltd can perform test of all type of Petroleum Products in its laboratory situated in Chattogram, Bangladesh and issue test report that will have global acceptance. It is to mention that, Lub-rref (Bangladesh) Ltd was first awarded the certificate in 2013.

Importers and Exporters Association of Taipei (IEAT) – New CACCI Affiliate Member

Taipei – The Importers and Exporters Association of Taipei (IEAT) is the newest affiliate member of CACCI. We welcome IEAT to the growing CACCI family!

Established in 1947, the IEAT represents businesses engaged in import-export trade. With some 5,700 members, IEAT is the largest importers and exporters association as well as one of the most influential private chambers of commerce in Taiwan.

The IEAT provides comprehensive services to members which can be classified into the following areas: Enhancing Members’ Right and Benefits, Furthering Foreign Trade, Strategic Alliance and Collaboration, Comprehensive Information Resources, and Developing Trade Expertise. The IEAT recognizes that with the advent of globalization and the Cloud Era, cross-border E-commerce is to set to shape future trading patterns. Thus, the IEAT aims to integrate the resources of the industry, the academia and the government for the development of a trade platform and e-commerce expertise to pave the way for global outreach and new business opportunities.

CACCI President Jemal Inaishvili and Senior Vice President Samir Modi had the opportunity of visiting the IEAT office in September where they met with IEAT Secretary General Mr. Peter Huang.

ASEAN launches Mentorship for Entrepreneurs Network (AMEN)

Singapore – ASEAN Business Advisory Council Philippines (ASEAN BAC PH) Chairman and ASEAN Mentorship for Entrepreneurs Network (AMEN) Founding Chair Joey Concepcion officially launched AMEN in Singapore last August 27, 2018.

ASEAN BAC PH Chair Concepcion was joined by ASEAN BAC 2018 Chair Robert Yap together with ASEAN CSR Network CEO Thomas Thomas and ASEAN CSR Network Chair Yanti Triwadiantini. After launching in Manila (November 2017), Australia (March 2018), South Korea (June 2018) and Malaysia (July 2018), the AMEN network was introduced in partnership with the ASEAN CSR Network, ASEAN BAC’s Sector Champion for Responsible, and Inclusive Business.

AMEN is a private-public partnership platform which was a legacy project of the ASEAN BAC during the Philippines’ ASEAN chairmanship in 2017. The integral essence of this public-private partnership deals will strengthen the aspiration for inclusive and sustainable growth. AMEN partnership aims to jointly develop and undertake programs, projects, and advocacy initiatives pursuant to the development and operationalization of responsible and inclusive business in ASEAN and ASEAN dialogue partners.

The program’s mentorship advocacy provides a platform to promote best practices and maximize potential in the path towards inclusive growth throughout the member states and the ASEAN dialogue partners. It seeks to prepare the MSMEs to face the growing challenges in the business community and to scale up their operations to increase the production of their goods and products through the training modules provided in the mentorship program. It is intended to bring the 3Ms – money, market, and mentorship – of entrepreneurial success, especially to micro and small enterprises.

Along with this, Concepcion was also invited as one of the key speakers during the ASEAN Responsible Business Forum.

Go Negosyo

HKCBMIA – New CACCI affiliate member

Hong Kong – The newest CACCI Affiliate Member is the Hong Kong Children, Babies, Maternity Industries Association Ltd. (HKCBMIA). Established in September 2016, the HKCBMIA aims to: (a) build up the data base of the industry to promote and enhance information exchange among its members; (b) organize business teams in Hong Kong and abroad to work with its counterpart organizations in other countries; (c) develop its market at home and abroad by organizing sales exhibitions, seminars, business matching services, etc.; (d) conduct training and exchange of information on management, technology, and marketing; (e) represent the industry in dealing with government to obtain support particularly in the area of business development; (f) encourage and nurture young people to join the industry; and (g) provide relevant industry information to members through publications and fellowship activities.

FICCI to hold 15th edition of CAPAM

Mumbai – The 15th edition of the Annual Capital Markets Conference – ‘CAPAM 2018’ – is being organized by the Federation of Indian Chambers of Commerce and Industry (FICCI) on 11 September, 2018 at Hotel Trident, Nariman Point, Mumbai.

CAPAM is recognized as the leading and most sought-after capital markets event in India and it provides an excellent platform to share views, experiences, international developments and best practices in the capital market domain.

Mr Ajay Tyagi, Chairman, Securities and Exchange Board of India (SEBI) has kindly agreed to deliver the Inaugural Address at CAPAM 2018.

Cambodia Chamber delegation visits CACCI and CTBC Bank

Taipei – A 40-member delegation from Cambodia Chamber of Commerce (CCC), led by CCC President Neak Oknha Lith Meng, met with officers of CACCI and the CTBC Bank, led by Dr. Steve Hsieh, during their recent visit to Taipei on November 9-10, 2016.

During the meeting, which was held at the CTBC headquarters, the visiting delegation listened to presentations about the activities of CACCI and of CTBC Bank.

2016 FICCI-ICC-CACCI workshop on ATA Carnet System in Kolkata

Mrs. Lee Ju Song, Executive Director of ICC Asia conducts workshop on ATA Carnet in Kolkata

Kolkata – The Federation of Indian Chambers of Commerce and Industry (FICCI) – West Bengal State Council – held a Workshop on “Why Should India Expand the ATA Carnet System” and “Why Should Exporters Use the ATA Carnet System” in Kolkata, India on April 29, 2016. FICCI organized the workshop with the support of the International Chamber of Commerce (ICC), through its World Chambers Federation (WCF), the Confederation of Asia-Pacific Chambers of Commerce & Industry (CACCI) and the Federation of Indian Export Organizations (FIEO).

The workshop, which was conducted by Mrs. Lee Ju Song, Executive Director of ICC Asia, was attended by more than 100 participants from India Customs, trade promotion agencies and members from FIEO. It covered the rationale for the early expansion of the ATA Carnet System in India to cover professional equipment and commercial samples. Discussions also addressed why exporters should use ATA Carnets to successfully develop their export markets.

The ATA Carnet is an international customs document that facilitates the temporary admission of goods into 75 countries without the need for the tedious normal customs procedures. This was the first in a series of workshops that ICC and CACCI will jointly organize with host Chambers in the region.

2016 ICC Short-term finance & Payment of international contract Training in Hanoi and HCMC

Hanoi – CACCI successfully conducted three one-day workshops on International Contract of Sale in Practice & Short Term Trade Finance on March 21, 2016 in Hanoi, March 23, 2016 in Danang and March 25 in Ho Chi Minh City. The workshop was led by Mr. Pavel Andrle, an ICC member and a trainer and consultant in international trade and finance.

The Vietnam Chamber of Commerce and Industry (VCCI) hosted the workshops. The main topics of seminars were the main ICC trade tools – rules books and other publications which capture rules and best practices in the fields of international trade, finance and investment. The presentations covered, among other topics, ICC model contract of sale, Incoterms 2010, model agency and distributorship contracts, as well as ICC rules for trade finance (such as rules for documentary credits, demand guarantees, standby letters of credit, forfaiting).

Mr. Andrle, during his lecture, focused on the new developments and updates, as well as the practical usage of the ICC rules and services, including combating financial crime, dispute resolution such as arbitration and mediation, in the context of the new free trade agreements which Vietnam has recently signed – the Trans Pacific Partnership Agreement (TPP) and the EU–Vietnam Free Trade Agreement (EVFTA). The second part of the workshops focused primarily on the TPP and the EVFTA, familiarizing the participants with the goals, principals and scope of these significant trade agreements.

The agreements, when they come into force, will provide mayor boost to economy of Vietnam, opening new markets and opportunities for Vietnamese exporters and importers. They will provide not only enhanced market access but also enhanced environment for foreign investment, stronger protection of IP rights, wide-ranging commitments on government procurement, regulatory quality, environmental protection.

Vietnam is poised to be a major beneficiary of both the TPP and EVFTA agreements. Taking into account the significance of the agreements for the further development of the Vietnamese economy, all the three events were well attended. The workshop in Hanoi was attended by more than 90 participants, about 20 people attended the workshop in Danang, and more than 80 representatives joined the Ho Chi Minh City event.