Overview
Information and communications technologies (ICTs) are recognized as a key enabler for ASEAN’s social and economic integration. Moreover, e-commerce has significant potential for Micro, Small and Medium Sized Enterprises (MSMEs), and therefore e-commerce advancement is critical for ASEAN to realize its vision of a regionally integrated economy. The ASEAN ICT Masterplan 2020 and AEC Blueprint 2025 have established a way forward to develop a digitally enabled regional
economy and further e-commerce. Despite the significant potential of e-commerce, there persist a series of challenges, leading to concerns that the digital revolution and development of e commerce may leave out developing economies. For example, in 2015, with the exception of China, no developing or transition economy was among the top ten e-commerce markets. However, in most recent years, developing countries have been catching up. For example, the Southeast Asian digital economy will make more than USD 240 billion by 2025, of which an estimated USD 100 billion will be generated from e-commerce. Despite these positive trends, there are key challenges faced in promoting e-commerce in the ASEAN region, including: i. Cybersecurity challenges, ii. Limited trust in online transactions, and iii. Limited authentication methods to counter fraudulent activities in electronic transfers.
Accordingly, the project 'Leapfrogging Skills Development in E-Commerce in South-East Asia in the Framework of the 2030 Development Agenda' was designed to address the above-mentioned challenges associated with e-commerce development in ASEAN region, with special emphasis on Indonesia, Philippines, and Singapore. Although these countries have made progress in adoption of e-commerce laws and in establishing a national e-commerce ecosystem, they continue to face hurdles and are looking at ways to strengthen the security of e-commerce users and the entrepreneurs’ capabilities to engage in e-commerce.