Asean has two top-30 universities in the Times Higher Education World University Rankings 2025

Asean has two world top-30 universities for the first time ever in the Times Higher Education (THE) World University Rankings 2025. The National University of Singapore (NUS) moved up to 17th place, up from 19th last year, while Nanyang Technological University, Singapore (NTU) is 30th, up two places from last year.

Other highlights include:

- Universiti Teknologi Petronas is Malaysia’s highest ranked institution and joins the top 250 for the 1st time in band 201–250, up from band 301-350 last year.

- Chulalongkorn University and Mahidol University are Thailand’s highest-ranked universities, both in band 601–800 (unchanged from last year). Maejo University debuted this year in band 1201-1500 – ahead of eight Thai universities.

- The University of Indonesia, has remained in band 801-1000 since last year and retained its No. 1 position in Indonesia.

- Ateneo de Manila University is the highest-ranked university in the Philippines in band 1001–1200, and is also the country’s highest-ranked university since joining the rankings in 2023.

- Vietnam’s UEH University debuted in band 501–600 while Universiti Brunei Darussalam in Brunei Darussalam is the country’s highest-ranked institution, in the same band.

- Australia’s top five universities have all slipped down the rankings.

Asean universities in the top 800 of the THE World University Rankings 2025

University	Country	Rank 2025	Rank 2024
National University of Singapore	Singapore	17	19
Nanyang Technological University, Singapore	Singapore	30	32
Universiti Teknologi Petronas	Malaysia	201–250	301–350
University of Malaya	Malaysia	251–300	251–300
Sunway University	Malaysia	401–500	601–800
Universiti Kebangsaan Malaysia	Malaysia	401–500	401–500
Universiti Sains Malaysia	Malaysia	401–500	401–500
Universiti Teknologi Malaysia	Malaysia	401–500	401–500
Universiti Utara Malaysia	Malaysia	401–500	401–500
UEH University	Vietnam	501–600	NR
Universiti Brunei Darussalam	Brunei Darussalam	501–600	401–500
Chulalongkorn University	Thailand	601–800	601–800
Duy Tan University	Vietnam	601–800	601–800
Mahidol University	Thailand	601–800	601–800
Ton Duc Thang University	Vietnam	601–800	601–800
Universiti Malaysia Pahang Al-Sultan Abdullah (UMPSA)	Malaysia	601–800	601–800
Universiti Pendidikan Sultan Idris	Malaysia	601–800	601–800
Universiti Putra Malaysia	Malaysia	601–800	501–600
Universiti Tenaga Nasional (UNITEN)	Malaysia	601–800	601–800

Source: Times Higher Education World University Rankings. See the full list at https://www.timeshighereducation.com/world-university-rankings/latest/world-ranking

Three new countries have joined the top 200, including KSA and the UAE, bringing the total to 30 countries.

A record 93 Asean universities were ranked this year, up from 80 last year. Indonesia boasts the most newcomers with seven new universities ranked; the highest-ranked is Universitas Muhammadiyah Surakarta in band 1201-1500.

Indonesia also has the most-ranked universities from Asean, with 31 institutions represented. Malaysia has the second-most ranked institutions with 23 in Asean, and Thailand is third with 20.

Of Malaysia’s 23 universities, four rose in the rankings, with Sunway University in Malaysia jumping forward to join the top 500 in band 401-500, up from band 601–800 last year. Meanwhile, newcomer Management & Science University (MSU) joined the rankings in band 801-1000. Elsewhere in Malaysia, three universities had lower rankings, and 15 stayed in the same position.

The number of Thai universities increased from 19 last year to 20 this year, with Maejo University debuting strongly in band 1201-1500 – higher than eight other Thai universities.

The Philippines had six universities ranked this year, up from five last year.

The rankings assess research-intensive universities across 18 performance indicators, which are divided into five pillars, covering the core missions of teaching, research, knowledge transfer and internationalisation. Pillarwise, Malaysia scored well in the research excellence and research influence metrics, and it is particularly successful in the international metrics.

The industry pillar, which measures the exchange between academia and industry, was Thailand’s strongest pillar, however, this has been declining over time relative to the rest of the world. Conversely, its research quality and research environment pillars have been improving since 2019.

While three out of the 31 Indonesian universities fell in the rankings, none improved their position. There were seven new entrants this year, and 21 remained in the same band.

Compared with last year, Indonesian universities, on average, improved by 0.6 points, most of which is driven by research influence and research excellence. Compared with the Asian average, Indonesian universities underperformed in all metrics except two – studying abroad and international staff. Its worst metrics were patents, research strength and research excellence.

Philippine universities underperformed against the Asian average across most metrics except student-staff ratio, studying abroad and international co-authorship. Its worst-performing metric compared with the Asian average was research strength.

The industry pillars have been growing significantly in Singapore, as have research quality and research environment. However, the international pillar has been declining in the last five years relative to the rest of the world.

Across most of Asean a lack of qualified effective academics, who are equipped to lead universities there, has contributed to holding back higher education in those countries. Phil Baty, Times Higher Education Chief Global Affairs Officer, said: 

Singapore

“Singapore’s status as a world-class hub for higher education, research and innovation talent is well and truly established, with Times Higher Education’s data now showing that the dynamic city state has two world top-30 universities for the first time ever. It is a remarkable achievement and testament to strong support for universities and R&D as fundamental to the success of the nation and the centring of human talent as Singapore’s greatest resource.”

Malaysia

“Transformations are taking place in Malaysian higher education, including attracting more international students as part of its efforts to globally promote its universities as well as growing research strength, which is paying dividends as a university breaks into the top 250 of the THE World University Rankings 2025. As Malaysia emerges as a strengthening global education hub, we expect to see further success in the world’s most comprehensive and rigorous university rankings in the years to come.”

Thailand

The Thai government is supporting its universities to deliver maximum social and economic impact, and they are emerging as world leaders on the sustainable development goals, which bodes well for their international partnerships and their global academic standing. However, concerns have been raised about a ‘publish or perish’ mindset in Thai research, with too much focus on the quantity of research outputs over their quality. Our rankings methodology values quality over quantity, so we look forward to supporting the sector with data insights and practical support to strengthen the research base."

Indonesia

"It is fantastic to see the participation of Indonesia who have 31 institutions represented, the most in the Asean region and who boast the most newcomers with seven new universities ranked."

The world’s highest-ranked higher education institution is the UK’s University of Oxford, which has maintained the top spot for a record nine years in a row. Massachusetts Institute of Technology in the US is the second highest ranked university in the world and in third place is Harvard University.

The THE World University Rankings started with 200 universities. The 21st edition of the rankings has 2,092 universities ranked – up from 1,907 last year – from 115 countries and regions.

This year 2,860 institutions submitted data, up 6.9% from last year, representing 133 countries and territories. The remaining 768 institutions gained “reporter” status, which means, although they submitted data, they did not meet THE’s eligibility criteria to receive a ranking.

Explore

View the full World University Rankings 2025 results at https://www.timeshighereducation.com/world-university-rankings/latest/world-ranking

PwC: Cambodia is ripe for foreign investment

Source: PwC. Aerial view of Phnom Penh.

A new outlook study titled Cambodia’s Infrastructure Market Update and Outlook, jointly produced by PwC Singapore and PwC Cambodia, highlights that Cambodia is poised for growth and remains attractive for foreign investment despite global economic headwinds.

The report aims to provide investors and financiers with insights into the potential for infrastructure investments in Cambodia, focusing on the latest market developments in key infrastructure subsectors. The report also highlights issues around connectivity between its economic nodes, integration with ASEAN and global transportation and economic networks – in ports, logistics, transportation and construction sectors – and outlines the potential pipeline for the players in these subsectors.

The Council for Development of Cambodia has identified six priority development sectors as drivers for future growth:

- Agrifood

- Automotive

- Electronics

- Textile and apparel

- Bike and parts

- Furniture and plywood

For Cambodia to fulfil its investment potential, PwC said that significant investment in infrastructure is required - US$28 B is estimated to be required between 2016 and 2040. Although the economy contracted due to COVID-19, the country is expected to grow at a CAGR of around 6% in the medium term - making Cambodia one of the fastest growing economies in the ASEAN region. Plus points for existing and future players include:

Public-Private Partnership (PPP) Law of 2021

The new Law on Public-Private Partnership is a step in the right direction as the country seeks greater private capital and efficiencies in infrastructure creation. With the enactment of the PPP Law, many bottlenecks in the infrastructure project pipelines could be eased by using incentive mechanisms.

Joint ventures with local players

The ability to find the right local partner is key to help foreign investors navigate various local factors including bureaucracy, business culture, and more. Cambodia has seen good growth in the asset portfolio of local players who have joined hands and diversified into new sectors.

Affordable long-term financing

The ability to raise affordable long-term capital to finance infrastructure projects remains a challenge. The combination of an increasingly competitive financial sector, larger play by multilateral financing institutions, willingness of local players to access capital markets, availability of guarantee products will enable supply to meet the expected growing demand.

Jennifer Tay, Infrastructure Leader, PwC Singapore said: “With significant development plans underway in the neighbourhood and geopolitical shifts potentially altering the capital flows within the ASEAN region, Cambodia is in a good position to capitalise on potential opportunities for sustained growth, further backed by the Royal Government of Cambodia’s commitment to reforms and growth.”

ASEAN CEOs cautious in face of economic slowdown

Source: PwC. Cover for the 22nd annual survey of CEOs.

Nearly 30% of business leaders globally believe that global economic growth will decline in the next 12 months, approximately six times the level of 5% last year – a record jump in pessimism. This is one of the key findings of PwC’s 22nd annual survey of over 1,300 CEOs around the world, launched at the World Economic Forum annual meeting in Davos, Switzerland.

CEOs across members of the Association of Southeast Asian Nations (ASEAN) reflected greater pessimism with almost half (46%) believing that global economic growth would decline. On the other hand, one in three CEOs (32%) in ASEAN forecast an improvement in global economic outlook, lower than the global average of 42%.

Yeoh Oon Jin, Executive Chairman, PwC Singapore said, “CEOs’ views of the global economy which generally mirror the major economic outlooks, are adjusting their forecasts downward in 2019. With the rise of trade tension and protectionism it stands to reason that business confidence is waning. This is especially so in ASEAN this year, with ASEAN CEOs showing even greater pessimism than their global counterparts. This is in stark contrast to sentiments over the past few years where we have been seeing greater optimism in Asia."

The unease about global economic growth is lowering CEOs’ confidence about their own companies’ outlook in the short term. Only thirty-five percent of CEOs globally, and 33% in ASEAN, said they are ‘very confident’ in their own organisation’s growth prospects over the next 12 months.

As indicators predict an imminent global economic slowdown, CEOs have turned their focus to navigating the surge in populism in the markets where they operate. Trade conflicts, policy uncertainty, and protectionism have replaced terrorism, climate change, and increasing tax burden in the top ten list of threats to growth globally.

In ASEAN, trade conflicts came out the top threat amongst CEOs at 83%, with geopolitical uncertainty and policy uncertainty following closely behind at 81% and 78% respectively. A majority of CEOs in ASEAN are taking a strong reactive approach to this geopolitical shift, with 29% adjusting supply chain and sourcing strategy, 29% delaying capex and 17% adjusting their growth strategy to different countries.

This year’s survey took a deep dive into data and analytics as well as artificial intelligence (AI).

This year’s survey revisited questions about data adequacy first asked in 2009. It was found that CEOs continue to face issues with their own data capabilities, resulting in a significant information gap that remains 10 years on. Despite billions of dollars of investments made in IT infrastructure over this time period, CEOs report that they are still not receiving comprehensive data needed to make key decisions about the long-term success and durability of their business.

Leaders’ expectations have certainly risen as technology advances, but CEOs are keenly aware that their analysis capabilities have not kept pace with the volume of data which has expanded exponentially over the past decade. When asked why they do not receive comprehensive data, CEOs in ASEAN point to the ‘lack of analytical talent’ (53% in ASEAN, 54% globally), ‘poor data reliability’ (53% in ASEAN, 50% globally), and ‘inability to quantify external information’ (50% in ASEAN, 40% globally) as the primary reasons.

When it comes to closing the skills gap in their organisation, CEOs agree that there is no quick fix. Forty-two percent of business leaders in ASEAN see significant retraining and upskilling as the answer (46% globally), with 22% also citing establishing a strong pipeline directly from education as an option (17% globally).

Yeoh Oon Jin, Executive Chairman, PwC Singapore said, "The lingering skills gap that is so apparent this year points to the importance of bringing together the best of man and machine, in this technological era. While machines are increasingly being used to generate more accurate statistical trends and automate systems, it is becoming clearer that the analytical and reasoning skills of the human are growing in importance and at least for now, irreplaceable. As businesses start integrating more analytics and technology into their day-to-day operations, there is naturally an increased demand for professionals with strong data and digital skills."

Eighty-seven percent of CEOs in ASEAN (85% globally) further agree that AI will dramatically change their business over the next five years and 62% believe AI will displace more jobs than it creates (49% globally).

Despite the bullish view on AI, one in three CEOs (36% ASEAN, 23% globally) currently have ‘no current plans’ to pursue AI, with a further 32% (35% globally) ‘planning to do so’ in the next three years. Twenty-eight percent have taken ‘a very limited approach’ (33% globally) and one in twenty CEOs have implemented AI on a wide scale (4% ASEAN).

Yeoh concludes, “The potential of AI is immense, but in order for us to make this next quantum leap and fulfil the promise of AI, organisations from both the public and private sector must work hand in hand and be committed to deliver on the educational, governance, innovation and commercial considerations."

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Download the global report

Notes:

- PwC conducted 1,378 interviews with CEOs in 91 countries between September and October 2018. The sample is weighted by national GDP to ensure that CEOs’ views are fairly represented across all major regions. Ten percent of the interviews were conducted by telephone, 73% online, and 10% by post or face-to-face. All quantitative interviews were conducted on a confidential basis. About half (48%) of companies had revenues of US$1 billion or more: 36% of companies had revenues between US$100 million and US$1 billion; 15% of companies had revenues of up to US$100 million; 59% of companies were privately owned.  

- All figures refer to CEOs across ASEAN unless otherwise indicated.
 
- ASEAN member economies surveyed include Cambodia, Indonesia, Malaysia, Philippines, Singapore, Thailand and Vietnam.
 
Get more information on the ASEAN cut

PwC makes recommendations for the future of ASEAN

Source: PwC Growth Markets Centre The Future of ASEAN - Time to Act web page. ASEAN's timeline since inception, by GDP, from the World Economic Outlook database, IMF, October 2017. 2018 figures are available.

PwC’s Growth Markets Centre has launched its 2018 annual report, The Future of ASEAN – Time to Act, during the official opening of PwC Singapore’s new office premises at Marina One on May 11.

The Future of ASEAN – Time to Act provides a view of the policies that the Association of Southeast Asian Nations (ASEAN) governments ought to consider to ensure the region continues to attract investment and strategies for future growth across seven sectors – automotive, financial services, consumer goods, medical devices, refined fuels, telecommunications and transportation.

2017 marked the 50th anniversary of ASEAN, comprising Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand, and Vietnam. ASEAN has not only doubled its membership since inception, but has also successfully weathered both the Asian financial crisis of 1997 and the global economic crisis of 2008–2009 to become the sixth-largest economy globally. 

However, a number of challenges, including a slowdown in short-term economic growth, weak workforce productivity, an ageing population, an over dependence on external trade and major voids in infrastructure and national institutions raise questions about the sustainability of ASEAN’s growth story.

The Future of ASEAN – Time to Act presents a view as to how ASEAN needs to progress from an era of passive growth, and take more proactive measures to continue to attract investments, develop institutions, and evolve its people and technological capabilities. The private sector will also have a major role to play in strengthening the region’s growth prospects over the coming years, but this will require companies not only to provide new products and services, to meet varying consumer preferences, but also to work more closely with governments to develop the right conditions for businesses to prosper.

Going forward, PwC sees growth opportunities for the private sector across a number of industries in ASEAN. However, given the dynamics and challenges of ASEAN, companies will need to adopt innovative strategies to succeed, the consultancy said. Common themes in the strategies include:

Localisation

Transition to more localised sourcing, productions and sales through the development of regional hubs to serve ASEAN consumers. (e.g. automotive and medical devices). 

Digitalisation

Adoption of digital capabilities to improve the production and transportation of goods and services, as well as the communication with consumers and businesses (e.g. financial services, consumer goods and telecommunications).

Partnerships and alliances

Development of partnerships and alliances, particularly cross sector and with industry disruptors (e.g. fintech), as companies try to stay relevant and competitive whilst meeting consumers expectations in a profitable manner (e.g. refined fuels and transportation).

David Wijeratne, Partner and PwC’s Growth Markets Centre Leader says, “ASEAN can be proud of what it has achieved in the past 50 years, but the time of passive growth is over. Global growth needs ASEAN to fulfil its potential and grab hold of its future, now is the time to act.”

PwC’s Growth Markets Centre is a global team which supports companies navigating the ever changing complexities of entering and expanding into and from developing markets. 

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Download the Future of ASEAN – Time to Act report

PwC's new office in Singapore is on levels nine to 13 at Marina One.

Business delegation visits Singapore to promote “Made In Italy” label

Major Italian sector federations have shared how they will work with local associations on a visit to Singapore to promote the Made in Italy label. Their message was that Italy has first-class capabilities that match the needs of a rapidly evolving ASEAN, and that ASEAN can leverage the success to fast-track their own goals.

2018 marks two decades since Singapore and Italy embarked on formal economic co-operation and exchange activities. Recognising that innovation drives the transformation of economies and societies, Singapore and Italy agreed to intensify long-term co-operation across various sectors from fashion to healthcare, furniture and technology.

“Singapore, with its smart city ambition, and businesses around the region can take advantage of the opportunities we bring. With cumulative knowledge and strong relationships, we can leverage on our experience to overcome challenges and fast-track the attainment of industrial and development goals,” said Leonardo Radicati, Director, Italian Trade Agency Singapore.

"The ASEAN markets have been growing fast in the last five years and in the region. By 2025, there will be a consuming class of 123 million people with high income. For the fashion industry, the area has a great potential as the new customers are asking more and more for Made in Italy products. Singapore is the entry point to reach the ASEAN countries for distribution projects and also for manufacturing cooperation," said Claudio Marenzi, President, Confindustria Moda, the New Federation for Associations of Textiles, Fashion and Accessories.

Footwear is so important that it has a separate association, Assocalzaturifici, the Italian Footwear Manufacturers’ Association, representing the subsector. In 2017 Italian footwear exports to Singapore remained unchanged in volume (301,217 pairs, worth €34.69 million) representing approximately half of totals for ASEAN.

“Italian footwear exports reached the highest value in the last 15 years, even when considered net of inflation. According to projections, the final result for the year 2017 as a whole should be around €9.2 billion. A new record in commercial trade especially with ASEAN buyers is expected in 2018,” said Tommaso Cancellara, Director General and CEO of MICAM.

“Statistics on leather goods show a very positive trend in the ASEAN markets with significant increase of our export in the last years. Thanks to the high quality of Italian leather goods we can further improve our cooperation and AIMPES will continue to undertake more promotional initiatives in the area,” said Riccardo Braccialini, President of AIMPES, the Italian Leather Goods Association and MIPEL, an international leather goods and fashion accessories exhibition, which takes place twice a year in Milan, Italy.

ASEAN countries attracted about  €88 million euros of Italian cosmetics last year with a growth of 9.6% on the previous year. The largest category of Italian exports are alcohol-based perfume products and haircare, which together account for about 75% of total Italian cosmetics exports to ASEAN. Singapore is the leading recipient of total Italian cosmetics exports to ASEAN, handling goods worth €57.5 million euros (9.3% more than the previous year).

“The figures highlight the competitive nature of the Italian cosmetics industry, despite the uncertainty of the political-economic situation. The Made in Italy cosmetics sector reaffirms its constant attention to investments in innovation and in customer service, validated by the response from the domestic market and also from the international ones such as ASEAN," said Fabio Rossello, President of Cosmetica Italia, the Personal Care Association.

INTA: Industries that invest in trademarks contribute significantly to ASEAN economies

Source: INTA. From left: James Allan, Director, Australia and Asia for Economic Frontier; Etienne Sanz de Acedo, INTA CEO; and Ai Ming Lee, Dentons, Rodyk & Davidson Senior Consultant.

The International Trademark Association (INTA) reports that industries which intensively use trademarks contribute significantly to five major economies in the Association of Southeast Asian Nations (ASEAN) region. Analysis from The Economic Contribution of Trademark-Intensive Industries in Indonesia, Malaysia, the Philippines, Singapore, and Thailand report indicates that trademark-intensive activities generate increased employment across sectors and added contributions to international trade. Trademark-intensive industries are defined as those industries which file more trademarks than other industries–weighted against total employment in that industry.

The release of the report coincides with the 50th anniversary of the ASEAN, which has successfully grown to become the world’s seventh-largest market and home to the third-largest labour force over the last half-century. INTA commissioned the report from Frontier Economics, an economics research firm. The study is the first of its kind to analyse the correlation between trademarks and their economic impact on contribution to GDP, share of exports, and employment in major markets of Southeast Asia.

From 2012 to 2015, trademark-intensive industries within Singapore generated a 50% direct contribution to GDP and 55% indirect contribution to GDP, reflecting interdependencies between trademark-intensive and non-trademark intensive industries. Trademark-intensive industries in Singapore comprised 60% of the country’s share of exports, including manufacturing of computers and electronics which contributed 21% of total manufacturing value added. In terms of employment, output, and value-added generated by trademark-intensive industries, workers’ share of the workforce represented 29% of total employment.

“A great brand is key to business success, especially in the digital economy, where there is intense competition for consumer attention. Companies that know how to use the right trademark strategy to protect their brand and grow it globally will have a strong edge over their rivals,” says Daren Tang, Chief Executive, Intellectual Property Office of Singapore (IPOS). “More broadly, the findings affirm the importance of IP as a business asset and a driver of Singapore’s future economic growth. IPOS, as an innovation agency, will build the right ecosystem to help businesses identify, protect, and more critically, commercialise their IP in Singapore and beyond into international markets.” 

Source: INTA infographic. Value of trademarks in Singapore.

“From employment to share of exports, this study illustrates the remarkable degree to which trademark-intensive activities positively impact the Singaporean economy,” noted INTA Member Ai Ming Lee, Consultant, Dentons, Rodyk & Davidson, LLP in Singapore. "In Singapore, trademarks and related intellectual property (IP) play a central role in driving economic development, strengthening international trade, and developing Singapore as an IP Hub.”

INTA CEO Etienne Sanz de Acedo said the results of the new study “underscore the immense potential for cross-sectoral economic growth that can be unlocked by promoting the value of trademarks with the business community, government, and the general public, and by further developing national trademark systems and trademark-intensive industries. As we explore the long-term economic and social implications of trademarks and related IP rights, it becomes increasingly important for both public and private sectors to scale up engagement on this issue, as well as support government efforts to further trademark and brand development and protection, including protection of goods in transit.”

Building on similar methodologies used by the European Union Intellectual Property Office (EUIPO) and the United States Patent and Trademark Office (USPTO), findings from the ASEAN report echo emerging analytical trends with regard to trademark-intensive activity. 

Interested?

Download the ASEAN impact report (PDF) 

View the Singapore-focused infographic (PDF)

ASEAN destinations and hotel offers packaged in Shangri-La, Singapore Airlines campaign

In celebration of the Association of Southeast Asian Nations' (ASEAN's) 50th founding anniversary, Shangri-La Hotels and Resorts and Singapore Airlines have partnered to launch a regional travel campaign called ASEAN Is More - First Stop Singapore.

Source: Shangri-La Hotels and Resorts. Banner for the ASEAN Is More - First Stop Singapore campaign.

The campaign will showcase Southeast Asia's destinations with curated leisure travel offers. Flight offers and hotel deals are available for any Shangri-La hotel or resort in Singapore, Malaysia, Indonesia, Myanmar and Thailand; Hotel Jen properties in Singapore and Malaysia; as well as Traders Hotel, Kuala Lumpur, Malaysia.

Travellers can also take part in the ASEAN 50 Holiday Memory Match game, which ends 31 October 2017. Game participants score points by correctly matching all the cards in the shortest time and the accumulated scores will be displayed on a leaderboard on the game's microsite. The top 10 fastest contestants will each win a four-day three-night stay at Shangri-La Hotel, Singapore that includes a S$200 dining credit at NAMI Restaurant and Bar.

At the end of the game, participants are encouraged to submit their answer for the question, "What is your favourite ASEAN country and why?" to stand a chance of winning a four-day holiday from their home country to Singapore. The prize includes a round trip economy class air ticket on Singapore Airlines with accommodation in the newly-refreshed Tower Wing of Shangri-La Hotel, Singapore.

Said Shangri-La Executive VP Cetin Sekercioglu: "As a destination, Southeast Asia has so much to offer - art, culture, heritage, nature, culinary experiences and innovative events that attract and engage all kinds of travellers. There is truly something for everyone in ASEAN."

Singapore Airlines Senior Vice President Sales and Marketing, Campbell Wilson stated, "With SIA's home base of Singapore located in the heart of ASEAN and coupled with our wide global network, we are well-positioned to bring visitors across this beautiful region."

Interested?

Hotel and flight reservations for ASEAN Is More can be made up to 31 October 2017 for stays until 31 December 2017. Book flights and hotel deals. Terms and conditions apply

Promising outlook for gold investors in ASEAN

Reade speaks at the conference about the buoyant outlook for gold.

Investing in gold is one of the best things investors can do for the long term, says John Reade, Chief Market Strategist, World Gold Council. In the keynote at the inaugural Asia Pacific Precious Metals Conference in Singapore, Reade pointed out that gold has been one of the best-performing assets through the global financial crisis, despite its volatility. Reade also made the connection between the price of gold and threats to economic stability – the price of gold traditionally rises in turbulent times as gold is seen as a safe haven.

“Politics has become less predictable. It is much more of an issue this year than we've seen for the last 10 or 20 years,” Reade observed. Brexit in the UK, tensions in North Korea, the continuing conflicts in the Middle East, and the rise of populist parties are all contributing to a more uncertain situation today. “I don't need to remind anyone quite how remarkable that is turning out,” said Reade of US President Trump's election.

Other indicators of the global economy could also impact gold prices positively. The economy has not bounced back quite as much as it was expected to since the 2008 financial crisis; bond yields from US government debt have fallen in the last 20 years, while US equities are expensive when compared to earnings. The bull market for US dollars, which typically follows a cycle of six to seven years, is also getting old, Reade said.

“Gold performs well during times of turbulence; we are in a clearly turbulent environment and potentially one that is more turbulent,” said Reade. “It does particularly well when equity markets fall sharply.”

Reade added that gold is not just there for times of turbulence, and can improve risk-adjusted returns.

Namiki noted that the AEC offers many opportunities to drive ASEAN as a major production and distribution hub for gold. The countries in the AEC combined would be the seventh-largest economy in the world, he said.

Closer to home, Hawk Namiki, Executive Director, Singapore Bullion Market Association, spoke of the significance of the ASEAN Economic Community (AEC) to global trade in gold. Launched at the end of 2015, the AEC is the 7th largest economy in the world in terms of GDP, and has a combined population of 625.6 million, he said, giving ASEAN the clout to be a major production and distribution hub.

Gold is important historically to the region, as it is often seen as more stable than currency, used as a medium of exchange and a unit of measurement, he said. "People convert excess money into gold and store it for a rainy day," he said of people in rural areas. "Besides demand for jewellery, uncertainty is prompting people to invest in gold."

 Ermin Siow, President, Federation of Goldsmiths & Jewellers Association of Malaysia, said the unfavourable exchange rates for the ringgit meant that trade in gold had fallen significantly in recent years.

Gold has evolved with times too. There is now a shari'ah standard for gold which sets out clear guidance for Islamic investment in gold. "This is a new asset class. It will lead to market expansion and a new customer base. (There is) potential for Malaysia and Indonesia to be the gateway to this for the Middle East and the rest of the Islamic world," Namiki said.

Sovereign wealth and pension funds (SWF/PF) are diversifying portfolios into different asset classes including precious metals, he added. Global uncertainty, coupled with increasing wealth and disposable income, gold's roots in the life and culture of the people in the region, and the introduction of the shari'ah standard, should increase total demand for gold going forward, he said.

Add caption

The ASEAN Precious Metals Markets and Opportunities panel discussed the state of the gold industry in various countries during the conference:

Myanmar

U Khin Maung.

The Myanmar government aims to set up commercially-viable, sustainable and globalised industry for gold, and has set up new laws and policies to encourage foreign investment in the precious metals industry, said U Khin Maung Han, President, Myanmar Gold Development Public Company. U Khin Maung is part of a 17-member delegation in Singapore to look for new business and partnership opportunities.

Gold deposits have been found running along major fault lines and dormant volcanic formations, and official estimates put gold production at 200 to 400kg per day, U Khin Maung said, with a daily turnover of US$8 million reported for Yangon and Mandalay alone. Of gold stocks in Myanmar, 30% is stored savings, while 60% consists of jewellery and value-added products. Religious artifacts and miscellaneous items each account for 5% of the total.

The country is looking to engage and partner with investors on developing small-scale mines, and gain knowledge transfers for refining, assaying as well as on developing value-added industries, U Khin Maung said. Partners are being recruited to help set up the infrastructure, from the exchange to financial and banking systems, he said.

For those interested, Myanmar has a special economic zone with tax exemption for up to five years, while specialised project zones have a seven-year tax exemption. Components deemed vital to the industry are granted extra benefits in terms of operations and taxes. "We want to participate in oversea links, we want to invent a network,” he said.

Laos

Rithikone Phoummasack, Senior Advisor, AIF Precious Metal Import-Export Service Sole Company, called the Lao gold market "small but high-growth". AIF Gold is the only licensed company licensed to import and distribute gold in Laos. It is also the only licensed company to provide an active gold trading and investment platform.

As in Myanmar, gold is a traditional savings mechanism, and a hedge against depreciation of the local currency.  "If you buy a car, the price may be in gold," he said.  "People don't put money in bank; they may buy gold and put it into the ground."

Phoummasack's estimates are that 60% of gold stores in the country are a store of wealth, while jewellery accounts for 35% of the total, and that gold reserves may amount to 500 to 600 tonnes. The country has gold mines and total production capacity of more than 40 tonnes a year. Ten tonnes of gold were consumed in 2016, and 8 tonnes for investment and trading the same year. There is a 10% import tax and 10% value-added tax on gold importation.

Vietnam

Huynh.

Huynh Trung Khanh, MD, Vietnam Gold Consultants described Vietnam as a strong retail investment market for gold as the average consumption there is 898kg per million inhabitants, against 550kg per million people globally. Vietnam has a population of about 93 million. There are 20 million 'dragon' bars from Sai Gon Jewellery Company (SJC) in circulation, of which 500 to 700 tonnes have been hoarded by the public over the past 10 years, he said.

From 2007 to 2016 the cumulative demand for Vietnam has been 836 tonnes, Huynh said. With the loosening up of conditions on gold bar retail sales and financing loans available from commercial banks, demand has grown to 85 tonnes per annum, he said.

Indonesia

Muhidin details the trends in the gold market in Indonesia.

Muhidin ST, VP, Marketing, Sales and Operations, PT Antam (Persero), shared that Indonesia is the second-largest gold producer in Asia and 4th in the world. PT Antam refines almost all the gold mined in Indonesia. He said gold has been used by Indonesians for many years as jewellery, while major tribes emphasise the importance of savings through gold. "People buy for decoration and for investment," he said.

Malaysia

Ermin Siow, President, Federation of Goldsmiths & Jewellers Association of Malaysia said that jewellery exports for 2016 amounted to RM7,186 million against bullion imports for 2016 of RM9,602 million. While the introduction of goods and services tax (GST) in 2016 had a dampening effect on trade, the market fundamentals remain, Siow said, listing ease of entry and few competitors in the market as some of Malaysia's advantages.

Thailand

Nawattanasub.

Pawan Nawattanasub, CEO, YLG Bullion International Company said that the reality in Thailand is that 95% of gold is purchased for investment and 5% as jewellery. While gold is inseparable from Thai celebrations like weddings and used for marriage dowries, buying behaviour has evolved towards investment and speculation in the last 10 years, she said. Eighty tonnes were consumed last year as 99.99% pure gold, which is popular for investors and gold of 96.5% purity, an alloy strong enough for jewellery. Gold bars are popular, as are gold-based exchange trade funds (ETFs) and derivatives, she added.

Singapore

KL Yap, Singapore Refining BU Manager, Metalor Technologies Singapore said that the precious metals market in Singapore really took off in 2012, when GST was removed on investment-grade precious metals (IPM). The precious metals market ecosystem in Singapore benefits from strong government support and sponsorship, a strong and transparent legal framework, he said, as well as the country's proximity to both gold mines as well as the centres of demand – China, India, and Southeast Asia. In 2015, 4,932 tonnes of physical IPM valued at US$30 billion were traded, of which 89.5% was gold. 

All panelists welcomed discussion, collaboration and investment in their markets, in line with the goals of the conference. Themed Your Gateway to the Asia Pacific Precious Metals Markets, 325 delegates from 23 countries attended the Asia Pacific Precious Metals Conference. Organisers Singapore Bullion Market Association (SBMA) hope to create a seamless regional market and production base for gold, with Singapore as the Asia Pacific regional precious metals trading hub.

"Going forward, SBMA aims to establish Singapore as a hub for connecting the international markets with the precious metals markets in Southeast Asia. The precious metals market in the region has tremendous potential and is seeing explosive growth," said Sunil Kashyap, Chairman, SBMA, in his opening speech.

Panel moderator Albert Cheng, CEO, SBMA closed the panel by noting that as the ASEAN Economic Community takes off, ASEAN countries will grow even closer together. "With this platform we are providing an opportunity for (everyone) to network with each other," he said of the Asia Pacific Precious Metals Conference. 

People often look north for investments and growth instead of south, Cheng added. "We hope they can look south; that's the purpose of this conference. Delegates all want to move their products via Singapore to other countries. We hope this is the start of something new."

A memorandum of understanding was signed with the Myanmar Gold Development company to establish a bilateral framwork of cooperation for the development of the Myanmar precious metals sector.