Newsflash ASEAN

Dear reader 

Welcome to the Q1/2024 edition of our ASEAN Newsflash.

This year has commenced with visits of some high-ranking German politicians to Southeast Asia: While President Frank-Walter Steinmeier and Minister of Labor and Social Affairs Hubertus Heil headed a business delegation to Vietnam and Thailand, Foreign Minister Annalena Baerbock has been traveling to the Philippines, Malaysia and Singapore, underpinning the region's importance as strategic partner for Germany. 

According to the ASEAN Secretariat, Foreign Direct Investment inflows into Southeast Asia reached an all-time high of USD 224 billion in 2023, contrasting with a significant decline in global FDI. Amid international crises and challenges, including geopolitical conflicts and inflated prices of food and energy, the region remains an important destination for German investment. In this edition we look at the upcoming Malaysian Companies (Amendment) Bill 2023 which aims to establish a reporting framework for corporate beneficial ownership and to enhance existing corporate governance provisions, at the Johor-Singapore Special Economic Zone, as well as updates of the Malaysian Financial Reporting Standards which entered into force in January 2024. Another important development entrepreneurs in Malaysia need to be aware of is the increase in Service Tax rate from 6 percent to 8 percent in March. Looking at the Philippines, the Senate discussed a proposal to modify the nearly 40-years-old Constitution to allow for greater foreign ownership in an attempt to open the country to more investors; an objective also targeted by the country's new Ease of Paying Taxes Act to modernize and increase the efficiency of tax administration and strengthen the rights of taxpayers. 

We will discuss a range of current business and investment topics in our upcoming ASEAN Forum on 25 April in Singapore. Various sessions will include current aspects of regional cross-border staffing, de-risking practices in the manufacturing sector amid tensed trade politics as well as strategies for effective Intercompany Agreements. And next to our panel discussion on different models of business coordination in the ASEAN region, there will of course be plenty of networking opportunities. 

    

We are gladly looking forward to an interesting exchange of thoughts; more information and an online registration opportunity will follow soon.

Markus Schlueter