Investment, Trade and Industry Minister Tunku Datuk Seri said a strong and unified regulatory regime could help Asean capture the potential value of the digital economy, which is expected to grow from the current US$300 million to US$10,000 to US$20,000 by 2030. One hundred million U.S. dollars.
He said the rapid growth of e-commerce and the availability of digital platforms such as social networks and e-commerce marketplaces provide opportunities for ASEAN small and medium-sized enterprises (SMEs) to increase their participation in domestic and international markets.
Citing “private intent data,” Tengku Zafrul said some 50 million small and medium-sized businesses use Facebook to find customers, with 70% of their fans coming from within the country and 30% from abroad.
“Enhanced data flows will reduce transaction costs, facilitate the sharing of ideas, and enable users to take advantage of new discoveries and technologies. One approach is to work towards a comprehensive regulatory framework to increase trust among stakeholders in intra-ASEAN data sharing , including the reuse of public and private intent data.
“While enabling the reuse of public intent data may be a more complex process, what we can consider today is further enabling the reuse of private intent data through regulations across ASEAN,” he said in a speech at the 2023 ASEAN Business and Investment Summit. .” in Jakarta.
Tengku Zafrul also shared his experience as the former Group CEO of CIMB Group, which successfully enabled cross-border account linkage between CIMB Malaysia and CIMB Singapore.
The move has facilitated services such as offering a competitive ringgit-Singapore dollar exchange rate for instant online fund transfers.
“This is a direct example of how regulatory coordination between the two countries can build trust in sharing private intent data on cross-border banking transactions. The second example is to simplify transaction payment systems.
“In this regard, we must commend the banking regulators and the central bank for their good cooperation in coordinating supervision in this area,” he said, adding that nowadays, with the use of cross-border QR codes, communication between ASEAN countries Payment transactions have also become easier. accepted.
These examples are significant because they were enabled in a highly regulated industry such as banking.
“Imagine what we could achieve across the region if we could better coordinate regulatory practices for comprehensive data sharing?” he asked.
Tengku Zafrul said that from a regional perspective, multilateral arrangements to facilitate cross-border data flows include the Regional Comprehensive Economic Partnership (RCEP) provisions on e-commerce and the ASEAN e-commerce agreement.
The RCEP e-commerce chapter aims to create an enabling e-commerce environment by protecting online consumer and online personal data and facilitating cross-border data flows.
He said greater consistency in data-related policies would create more trust and boost e-commerce in the region and between ASEAN and other international markets.
Tengku Zafrul also called on the region to strengthen the implementation of the next phase of Good Regulatory Practices (GRP) to achieve harmonized standards based on what has been developed so far to realize the region’s ambitions as a single market and production base.
This is because ASEAN countries are still in the early stages of developing a regulatory framework for sharing public and private intent data, he said.
As such, he said policymakers and regulators should incorporate international best practice into their domestic legislative processes.
“For private-intent data, this includes introducing legislation or policies that encourage open data licenses between private portability.
“ASEAN countries should also seriously consider establishing mutual recognition arrangements and/or harmonizing data-related regulations within and outside the region. This could also be addressed through the upcoming negotiations on the ASEAN Digital Economy Framework Agreement (DEFA), ” he added.
