How the Malaysian state of Selangor is helping to build Asean into a global economic powerhouse
- The 2024 edition of the Selangor International Business Summit expands into two series of events set for July and October, signifying its growing influence
- July’s series will feature the Selangor Asean Business Conference and the Selangor Investment and Industrial Park Expo, showcasing the region’s range of opportunities
The Malaysian state of Selangor is positioning itself to be the gateway to business in Southeast Asia, as the region aims to become the fourth-largest economy by 2030. The Association of Southeast Asian Nations (Asean), which currently trails the economies of the US, China, Japan and Germany, is strengthening reforms for economic integration and growth.
They include the Regional Comprehensive Economic Partnership (RCEP), the world’s largest free-trade agreement between Asean members plus Australia, China, Japan, New Zealand and South Korea. The agreement, which came into effect in 2022 and covers about a third of the world’s population, accounted for 32 per cent of global gross domestic product (GDP) last year – a sign of its ability to drive growth in the region.
Southeast Asia’s GDP is forecast to grow by 4.6 per cent this year and 4.7 per cent next year, according to the Asian Development Bank. This outlook is fuelled by strong domestic demand and a robust trading bloc.
Meanwhile, Asean is harnessing its geographical advantages as it pushes to become an economic powerhouse. In addition to a diverse mix of cultures, languages and industries, the region has a population of more than 660 million. Of those, over 60 per cent are aged under 35 and embracing digital technology, making for a young, tech-savvy workforce.
“Every country has its strengths and presents unique opportunities for collaboration and investment,” says Dato’ Hasan Azhari Bin Haji Idris, CEO of Invest Selangor, a government body that oversees investment and business opportunities in the state.
