Top Regional Business and Financial Leaders Unite to Address ASEAN’s and APEC’s Financial Challenges
ABAC-ASEAN BAC-APFF 2025 Southeast Asia Conference Opens with Call for Bold Public-Private Collaboration
KUALA LUMPUR, 11 June 2025 — The region’s financial powerhouses from across ASEAN and the APEC region gathered today at the AICB Centre of Excellence for the APEC Business Advisory Council (ABAC) – ASEAN Business Advisory Council (ASEAN-BAC) – Asia Pacific Financial Forum (APFF) 2025 Southeast Asia Conference. It marked a critical moment for regional economic cooperation as ASEAN and APEC face mounting financial headwinds.
The high-level gathering, themed “Financing ASEAN’s Development Priorities: Identifying Medium-Term Deliverables for Public-Private Collaboration,” brought together government officials, business leaders, and financial experts to address urgent regional priorities including global economic headwinds, the green investment gap, and digital inclusion imperatives.
YB Puan Lim Hui Ying, Deputy Minister of Finance Malaysia in her keynote address, emphasised Malaysia’s commitment to regional financial integration during its ASEAN Chairmanship year. She said “Responding to the current challenges and opportunities will require stronger regional financial cooperation. At the same time, it will also require closer collaboration between the public and private sectors. In this context, the APEC and ASEAN processes have a critical role to play in providing platforms for coordinated and collective action among their members and for enhanced government and regulatory engagement with
the private sector.”
“Today’s programme is designed to bring together leaders, investors, and policymakers for a practical, solutions-focused conversation on ASEAN’s growth trajectory. We will hear from expert panels, each focused on a priority area where we think public-private collaboration can deliver real, measurable outcomes. ASEAN must deepen and connect its capital markets to unlock domestic savings, attract global capital and drive innovation,” said Tan Sri Nazir Razak, Chairman, ASEAN-BAC, in his welcome remarks.
The opening session set the stage for a comprehensive day-long program addressing five critical areas: accelerating ASEAN’s capital market development, advancing financial digitalization, building market infrastructure for expanded access to finance, securing sustainable energy access, and innovating for future resilience.
Several of these discussions support several of ASEAN-BAC’s 12 strategic initiatives for 2025. Amongst these are the ASEAN Private Capital Markets Initiative (Initiative No 2); ASEAN IPO Prospectus (Initiative No 3); ASEAN Common Carbon Framework (ACCF) (Initiative No 5) and the ASEAN Sustainability Reporting Advocacy Collaborative (Initiative No. 11). {please refer to backgrounder for details.}
The conference also featured panel discussions featuring experts from major regional banks, development organisations, regulatory bodies, and technology companies, all working toward the shared goal of financing ASEAN’s sustainable development priorities. This event builds on the momentum from ASEAN-BAC’s recent presentation of its comprehensive 12-initiative roadmap to ASEAN Leaders at the 46th ASEAN Summit in May 2025.
The ABAC-ASEAN BAC-APFF 2025 Southeast Asia Conference is an annual forum launched in 2024 to serve as a regular platform for public-private collaboration in ASEAN and APEC. This year’s conference drew insights from the combined networks of ASEAN-BAC, APEC BAC, APFF, the Asia-Pacific Infrastructure Partnership (APIP), and the Asia-Pacific Financial Inclusion Forum (APFIF).
ASEAN-BAC Malaysia 2025 Initiatives
1. ASEAN Business Entity (ABE)
Chair: Novan Amirudin, Group CEO of CIMB Group
The ASEAN-BAC proposes the ASEAN Business Entity (ABE) framework to enhance cross-border investment and drive economic integration within the region. The ASEAN Member States (AMS) will decide on its implementation based on their national priorities, interests and economic strategies.
Under the proposed framework, each AMS would define its own criteria and benefits for qualifying companies, such as:
● Investments and/or presence in multiple ASEAN countries
● Significant ASEAN shareholder base
● Operation in priority sectors
● Potential for substantial foreign direct investment
● Commitment to Sustainable Development Goals
AMS may consider granting operational flexibilities to ABE-qualified companies, including
● Ease of employee movement
● Simplified outsourcing processes
● Streamlined capital movement
The ABE framework aims to create a more attractive and competitive business environment that encourages intra-ASEAN investment and strengthens the ASEAN identity.
2. ASEAN Private Capital Markets Initiative
Chair: Tan Sri Nazir Razak, Chairman, ASEAN-BAC Malaysia
The ASEAN-BAC is advocating for the ASEAN Private Capital Markets Initiative to unlock the latent potential of private markets in the region. By supporting the expansion of venture capital (VC) and private equity (PE) funds based in ASEAN, the initiative aims to strengthen collaboration among capital providers, create fresh opportunities for economic growth, and contribute to sustainable development.
Recognising the underdevelopment of private markets in this region, ASEAN-BAC together with McKinsey & Company will release a report on accelerating the growth of the private markets industry. These studies will be shared with the governments of AMS with recommendations to help stimulate investment and enhance the role of private capital in ASEAN economies.
3. ASEAN IPO Prospectus
Chair: Tan Sri Nazir Razak, Chairman, ASEAN-BAC Malaysia
The ASEAN IPO Prospectus represents a proposal advocated by ASEAN-BAC to enhance regional capital access. This concept envisions a framework where companies seeking public listings could choose between using a domestic prospectus or an ASEAN-wide prospectus when listing on their home exchanges. If adopted by ASEAN governments through the ASEAN Capital Markets Forum (ACMF), this initiative could potentially simplify cross-border capital raising by providing companies with access to investors across the entire region. The ACMF is currently chaired by the Securities Commission Malaysia (SC).
ASEAN-BAC advocates that such a framework while respecting national regulatory requirements, potentially enables companies to more efficiently secure funding from a broader and more diverse investor base throughout the region. The ultimate decision on implementation, scope, and timeline rests with AMS governments, who will evaluate the proposal based on their specific market conditions and regulatory priorities.
4. ASEAN Talent Development and Mobility
Chair: Dr. Ong Kian Ming, Pro Vice-Chancellor of External Engagement at Taylor’s Education Group
ASEAN-BAC advocates for a talent mobility initiative focusing on two key groups:
● International ASEAN students: Proposing improved frameworks to enhance the work opportunities of students studying in other ASEAN countries.
● Fresh graduates: Suggesting policies that would allow graduates to work in their host ASEAN country for a stipulated period following completion of their studies.
The council proposes that governments of AMS consider developing more flexible visa frameworks tailored to these specific groups, potentially enabling greater educational and early-career mobility across the region. Such policies could support knowledge transfer and help build a more integrated regional workforce, though implementation decisions remain entirely with individual AMS governments based on their national priorities and requirements.
5. ASEAN Common Carbon Framework (ACCF)
Chair: Lim Chern Yuan, Group CEO of Yinson Holdings Berhad
ASEAN-BAC has proposed the ASEAN Common Carbon Framework (ACCF) to advocate governments of AMS towards a voluntary carbon market that is transparent, interoperable and aligned with ASEAN Strategy for Carbon Neutrality.
Under the ACCF, ASEAN-BAC recommends that governments of AMS consider four interlinked areas: first, establishing a vibrant voluntary carbon-market ecosystem, beginning with high-quality technology and nature-based projects; second, designing national policy frameworks that integrate both compliance and voluntary markets into each country’s path to Net-Zero by 2050; third, developing regional talent through
professional certification, continuing-education programmes and mutual-recognition agreements; and fourth, forging domestic and international partnerships to ensure efficient carbon pricing and the flow of private finance into projects across emerging economies.
The Malaysia Carbon Market Association (MCMA) launched in 2024, is the first association of its kind in ASEAN and serves as a practical model for how a national body can advise on policy, build market capacity and convene stakeholders. It demonstrates how to translate ACCF proposals into national roadmaps. Final decisions on design, scope and timing rest with each AMS’ government.
6. Digital Exchange Platform Malaysia
Chair: Dato’ Fadzli Shah Anuar, Director of Business Development at MyEG Services Berhad
ASEAN-BAC champions this private sector-led initiative aimed at enhancing cross- border commercial processes through the digitisation of business documents. The concept features an integrated digital platform connecting key trade stakeholders including banks, freight forwarders, and shippers, with customs systems.
This private enterprise approach aligns with the Digital Trade Connectivity (DTC) initiated by ASEAN-BAC Thailand and demonstrates how industry can drive innovation to complement the ASEAN Single Window.
ASEAN-BAC advocates to AMS for supportive government policies that would enable private sector implementation of such platforms across member states and reduce cross border trade efficiency. ASEAN-BAC envisions launching a Proof of Concept (POC) with other ASEAN-BAC counterparts.
7. B2B Connect Initiative
Chairs: Tan Sri Nazir Razak, Chairman of ASEAN-BAC Malaysia Dato’ Sri Mustapa Mohamed, Chair of BCI Agriculture
The B2B Connectivity Initiative (BCI) is an ASEAN-BAC advocated programme that aims to secure tangible business cooperation among corporates and businesses across AMS.
Beyond policy recommendations, the BCI is committed to facilitating intra-ASEAN investment by connecting companies from various sectors, beginning with the agricultural sector. By creating direct pathways for businesses to engage and form partnerships, the initiative seeks to realise the ambition of deepening ASEAN economic integration.
Earlier this year two MOUs were signed:
Firstly a Malaysian agricultural company and a Philippine research and development firm are establishing Musang King durian plantations in the Philippines. This collaboration leverages the distinct durian harvesting seasons in both countries to meet global demand year-round. The partnership aims to boost economic growth through durian exports, strengthen ties among ASEAN member states, enhance Philippine agricultural practices, create jobs, and establish groundwork for future food security projects.
Secondly, a property development company from Malaysia and a logistics group from Singapore are exploring strategic collaboration opportunities to develop integrated logistics hubs and real estate solutions across Malaysia, Vietnam, and other ASEAN markets. The first major milestone in this partnership is the development of a logistics facility in the Malaysian company’s port-centric township in Klang, Selangor, with an estimated investment of at least RM300 million. This facility will be modeled after the Singaporean group’s flagship Supply Chain City in Singapore and will incorporate state-of-the-art features and capabilities.
8. ASEAN Identity Initiative
Chair: Tan Sri Tony Fernandes, Group CEO, AirAsia
The ASEAN Identity initiative advocates for the rebranding of the SEA Games to the ASEAN Games. As an advocate, ASEAN-BAC proposed this initiative to the Malaysian Ministry of Youth and Sports and the Southeast Asian Games Federation. The SEA Games is a biennial multi-sport event that brings together participants from the 11 countries of Southeast Asia.
If this initiative is accepted by the Southeast Asian Games Federation, the ASEAN Games would serve as a powerful symbol of regional unity and a catalyst for fostering a stronger ASEAN identity.
9. ASEAN Corporate Philanthropy Framework
Chair: Tan Sri Nazir Razak, Chairman, ASEAN-BAC Malaysia
This initiative presents a policy report with actionable recommendations advocated by ASEAN-BAC to help governments and companies in AMS better respond to community needs and evolving sustainability imperatives. The research aims to guide policymakers and business leaders across the region by identifying effective policy mechanisms and business strategies that could increase corporate engagement in Corporate Social Responsibility (CSR).
Through this framework, ASEAN-BAC proposes to:
● Advocate for increased CSR contributions from companies throughout ASEAN
● Recommend best practices in CSR regulations for consideration by AMS
● Promote approaches to ensure CSR remains distinct and impactful, without being overshadowed by ESG (Environmental, Social, and Governance) concerns
The implementation of these recommendations will depend on decisions made by governments of AMS based on their national priorities, while successful outcomes will require active engagement with the private sector.
10. ASEAN Inclusivity Collective (AIC)
Chair: Jukhee Hong, Executive Director, ASEAN-BAC Malaysia
The ASEAN Inclusivity Collective (AIC) is a private sector-led initiative advocated by ASEAN-BAC in partnership with LeadWomen and in response to the aspirations of the ASEAN Socio-Cultural Community (ASCC) vision. It champions inclusivity, anti-discrimination, and harassment prevention across businesses in the region.
This initiative recognises that inclusivity is becoming a compulsory element of Environmental, Social, and Governance (ESG) reporting requirements, while aligning with the ASCC Blueprint 2025 and aligned with Malaysia’s ASEAN Chairmanship theme of Sustainability and Inclusivity. .
Operating on four core principles:
● Cultural sensitivity across diverse AMS
● Compliance with individual country legal frameworks
● Adaptability to each organisation’s unique context
● Merit-based approaches to inclusion
By 2030, the AIC aims to engage thousands of private and public sector companies of all sizes, multinational corporations, industry associations, and other institutions across AMS in adopting workplace commitments through a voluntary Inclusivity Pledge focusing on:
● Workplace demographics transparency
● Increased board and management representation
● Anti-discrimination policies
● Pay equity
● Support for caregivers
● Zero-tolerance approach to workplace violence and harassment
As a collaborative business-led initiative, participation is entirely voluntary. While ASEAN-BAC advocates for these inclusive practices, implementation remains at the discretion of individual businesses according to their specific contexts, industries, sensitivity to the diversity of cultures and fully respectful to the legal frameworks of the respective AMS.
11. ASEAN Sustainability Reporting Advocacy Collaborative (ASRAC)
Chair: Jukhee Hong, Executive Director, ASEAN-BAC MY
The ASEAN Sustainability Reporting Advocacy Collaborative (ASRAC) is a strategic initiative where the ASEAN-BAC advocates for standardised, simplified global sustainability reporting frameworks.
ASRAC responds to increasing demands for climate and sustainability disclosures from investors and finance providers, recognising the pressure this places on businesses and Small and Medium Enterprises (SMEs) in Global Supply Chains. ASEAN-BAC advocates a global standard using the International Sustainability Standards Board (ISSB) as the baseline with potential double materiality components,
and proportionate reporting requirements to achieve high standard in reporting quality.
All of these is to be achieved through consultations with policy makers and standard setters to understand regional priorities and seek alignment. Additional efforts include supporting the Single Access Point for ESG Data Sandbox and facilitating capacity-building through professional bodies and think tanks.
This initiative demonstrates ASEAN-BAC’s commitment to addressing the private sector’s concerns regarding sustainability reporting in three key areas: compliance, cost, and capacity (the 3Cs).
This advocacy focus draws input from a baseline report produced by the knowledge partner Association of Chartered Certified Accountants (ACCA) in consultation with the knowledge Partner Sustainable Finance Institute Asia (“SFIA”) and APEC Business Advisory Council Malaysia stakeholders.
12. Regional & National AI Engagement Platforms
Chair: Goh Peng Ooi, Founder & Group Executive Chairman, Silverlake Axis Ltd
This is an advocacy effort by the ASEAN-BAC to establish collaborative institutional structures at both national and ASEAN levels. Through this initiative, ASEAN-BAC advocates for coordinated organisations designed to achieve three core objectives:
harness the power of AI collaborations and innovations; harvest AI positives and benefits for the people; and harmonise AI policies and guardrails across the region.
ASEAN-BAC recognises that the rapid rise of AI presents several challenges, including ethical concerns, security risks, legal issues, social and cultural implications, and job displacement.
ASEAN faces unique regional challenges in addressing these issues due to its dependence on foreign AI technologies, nascent AI policy frameworks, and a fragmented approach to managing external pressures. ASEAN-BAC seeks to address these challenges by proposing formal coordination mechanisms that could enable governments of AMS to develop cohesive AI policies.
