Illustrative image (Photo: https://www.adb.org/) Hanoi (VNA) – A new report from the Asian Development Bank (ADB) shows that strengtheningthe dynamics of micro, small, and medium-sized enterprises (MSMEs) withinnovation and internationalization will be key to revitalizing Southeast Asianeconomies devastated by the coronavirus disease (COVID-19) pandemic.
The bank’s Asia Small and Medium-Sized Enterprise Monitor (ASM) 2020 said MSMEsare a critical driving force in Southeast Asian economies, accounting for anaverage of 97 percent of all enterprises and 69 percent of the national laborforce from 2010 to 2019. They contributed an average of 41 percent of eachcountry’s gross domestic product over the same period.
“MSMEs in Southeast Asian economies mainlyfocus on domestic markets and their level of entrepreneurship remainsuboptimal. Supporting the development of MSMEs, particularly in technologyadoption and participation in global supply chains, will contribute toinclusive growth and aid in recovery efforts from COVID-19,” said ADB ChiefEconomist Yasuyuki Sawada.
He expressed his belief that ASM 2020, which provides a rich set of dataand analyses on MSME development in Southeast Asia pre-COVID-19 pandemic, wouldbecome a benchmark in helping design feasible government assistance for MSMEsamid a new normal in the region.
The first volume of ASM 2020,released on October 22 at a virtual launch attended by ADB Vice-President forKnowledge Management and Sustainable Development Bambang Susantono,presents a detailed assessment of financial and nonfinancial issues facingMSMEs in Southeast Asia at both the country and regional levels. It alsoanalyses policies and regulations surrounding MSME development and access tofinance in each country in Southeast Asia.
Key findings from the report’ssecond volume, to be released on October 28, examines the impact of COVID-19 on MSMEs in Indonesia, Laos, thePhilippines, and Thailand based on rapid surveys conducted from March to Maythis year./.
VNA
