South-east Asian state enterprise will change markedly

Subject

Reforms to state-owned enteprises across South-east Asia.

Significance

South-east Asian governments are under increasing pressure to reform state-owned enterprises (SOEs). Approaches to making them more efficient vary across the region.

Impacts

• South-east Asian SOEs will benefit from infrastructure projects linked to China’s Belt and Road Initiative.
• Restrictions on SOEs will likely be included in future bilateral and multilateral trade agreements involving the region’s governments.
• Malaysia’s use of an anti-bribery management system for some of its SOEs could set a new standard for state enterprise in South-east Asia.