The ASEAN Strategic Action Plan for SME Development 2016–2025 aims to strengthen micro, small, and medium enterprises (MSMEs) as a cornerstone of equitable economic growth within the ASEAN Economic Community (AEC). MSMEs account for the majority of establishments and employment in ASEAN but contribute relatively little to exports. The Plan addresses this gap by setting a vision for globally competitive, innovative, and resilient MSMEs integrated into regional and global value chains. It outlines time-bound priorities: the first five years focus on seamless integration with the AEC, while the latter five aim for global competitiveness and inclusivity. The Plan identifies five strategic goals: promoting productivity, technology, and innovation; increasing access to finance; enhancing market access and internationalization; improving policy and regulatory environments; and fostering entrepreneurship and human capital development. Two pathways—competitive and inclusive—guide actions to support advanced and developing member states respectively. The Competitive Pathway targets relatively advanced ASEAN Member States, such as those with developed economies, secondary industries, urban areas, and medium-sized enterprises. Its main goal is to enhance global competitiveness by fostering diversification and innovation. Actions under this pathway include: Building industry clusters to strengthen linkages between SMEs and large enterprises, including multinational corporations; Promoting technology adoption and innovation as key drivers for productivity; Supporting integration into regional and global value chains, enabling SMEs to participate in international trade; Encouraging export capacity development and adoption of international standards; etc. The Inclusive Pathway focuses on developing ASEAN Member States, particularly those with traditional economies, primary industries, peripheral regions, and micro-to-small enterprises. Its aim is to facilitate industrialization and raise incomes, ensuring social inclusion. Key actions include: Strengthening micro enterprises through capacity building and micro-financing programs; Promoting basic productivity and quality standards for small businesses; Enhancing vocational training and entrepreneurship education, especially for women and youth; Supporting gradual integration into regional markets while addressing structural challenges like limited access to finance and technology. The Inclusive Pathway prioritizes social equity, poverty reduction, and resilience, ensuring that economic integration benefits all segments of society. Cross-cutting measures include financial schemes, capacity building, and digital platforms to boost connectivity and knowledge sharing.
2015-11-01