ASEAN BUSINESS ENTITY (ABE)
CHAIRS
Novan Amirudin
Group CEO, CIMB Group
MEMBERS
KNOWLEDGE PARTNER
OBJECTIVE
The proposed ASEAN Business Entity (ABE) status is designed to support qualified companies within ASEAN, offering them a range of operational flexibilities. By enabling ASEAN Member States (AMS) to self-define the criteria for ABE, this initiative aims to foster greater business flexibility and regional growth. Companies that qualify for ABE status could benefit from the free movement of outsourcing, capital, skilled labour, and higher maximum shareholding limits, providing them with greater control and expansion opportunities.
At its core, the ABE status seeks to spur the growth of intra-ASEAN investment and deepen economic integration within the region. By promoting these key benefits, the initiative will also make the ASEAN identity more meaningful, helping companies leverage the full potential of regional integration.
CONCEPT
It is proposed that each AMS determine the criteria and operational flexibilities for ABE such as the elements below:
PROPOSED CRITERIA
1) Investments and/or presence in at least [4] ASEAN countries
2) At least [30%] ASEAN shareholder base
3) Operate in priority sectors such as financial services, energy, transport and tourism
4) Potential size of FDI the company brings into the investee country
5) Commitment to SDGs, in line with ASEAN Vision 2045
PROPOSED OPERATIONAL FLEXIBILITIES
Ease of movement of employees
Ease of back-end outsourcing
Ease of movement of capital