Secretary-General of ASEAN, Dr. Kao Kim Hourn, met with Ms. Keiko Miwa, Division Director for Cambodia, Indonesia, Lao PDR, Myanmar, Pacific Islands, Papua New Guinea, and Timor-Leste of the International Finance Corporation (IFC), a member of the World Bank Group, at the ASEAN Headquarters in Jakarta on 11 June 2026. The meeting focused on harnessing finance to support private sector development across the region and explored several key areas of potential collaboration between ASEAN and the IFC.
Among the priority areas discussed were digital payments connectivity, financial inclusion, micro, small, and medium enterprise (MSME) development, and sustainability. These topics align closely with ASEAN's broader economic goals under the ASEAN Economic Community Blueprint 2025, which emphasizes deeper regional integration, digital transformation, and inclusive growth.
Digital payments connectivity has become a critical focus for Southeast Asia, where a large proportion of the population remains underbanked. The meeting between Dr. Kao and Ms. Miwa signals a mutual recognition that improving cross-border digital payment infrastructure can drive greater economic efficiency, reduce transaction costs, and expand access to financial services for millions across the region. Initiatives such as the ASEAN Payment Connectivity initiative, which aims to link real-time payment systems among member states, stand to benefit significantly from IFC expertise and financing.
Financial inclusion remains a cornerstone of sustainable development in Southeast Asia. Despite significant progress in recent years, millions of individuals and small businesses across countries such as Cambodia, Indonesia, Lao PDR, and Myanmar still lack access to formal banking services. The IFC, with its extensive experience in supporting financial sector reforms and innovative fintech solutions, is well-positioned to partner with ASEAN in expanding access to credit, savings, and insurance products for underserved populations.
MSME development was another central theme of the discussion. MSMEs account for the vast majority of businesses and employment across ASEAN member states, yet they often face significant barriers in accessing affordable financing. Collaborative efforts between ASEAN and the IFC could help strengthen MSME ecosystems through capacity-building programs, improved regulatory frameworks, and tailored financial products that address the unique needs of small businesses.
Sustainability also featured prominently in the dialogue. As ASEAN member states pursue ambitious climate goals and green transition strategies, mobilizing private sector capital for sustainable infrastructure and clean energy projects has become increasingly urgent. The IFC's green finance expertise and its track record in issuing sustainability-linked bonds could play a pivotal role in helping ASEAN countries meet their environmental commitments while fostering economic growth.
The meeting reflects ASEAN's ongoing engagement with international financial institutions to advance the region's development agenda. It follows a series of high-level discussions between the ASEAN Secretariat and various multilateral partners, underscoring the association's commitment to building a more integrated, inclusive, and sustainable regional economy.
Sources: [asean.org]
