Micro, small and medium enterprises (MSMEs) are important "engines of growth" in ASEAN economies.

For its part, Japan sees ASEAN's growth potential as a neighboring region. In 2017, Japan is the region's third largest investor and fourth trading partner. ASEAN-Japan cooperation for MSME development is outlined in the Renewed ASEAN-Japan 10-Year Strategic Economic Cooperation Roadmap (2016-2025). Specifically in support of "Economic Integration of ASEAN," ASEAN and Japan collaborate to increase MSME's competitiveness in regional production networks through tailored programmes for ASEAN Member States based on the ASEAN Strategic Action Plan for SME Development 2016 - 2025 (SAP SMED 2025).

Areas of Support and Key Contributions

Japan supported ASEAN countries in assessing the ASEAN Strategic Action Plan for SME Development 2010-2015 (SAP SMED 2015) and in drafting the SAP SMED 2025 through AEM-METI Economic and Industrial Cooperation Committee (AMEICC).

The following are JAIF's areas of support based on the strategic goals of ASEAN SAP SMED 2025 and key contributions to-date. In addition, comprehensive support to monitor all 10 Key Policy Indicators (KPIs) under the strategic goals has been conducted through JAIF since 2016.

Strategic Goals
Productivity, Technology, and Innovation Access to Finance Market Access and Internationalization Policy and Regulatory Environment Entrepreneurship and Human Capital Development
Establishment of the ASEAN SME Service Centre
Development of the Reference Guidebook for ASEAN SME Exporters
Development of the Guidebook on ASEAN SME Staff Exchanges and Internships through the "ASEAN Internship Project"
Development of an ASEAN Benchmark for SME Credit Rating Methodology
Development of the ASEAN Guidelines on Improvement of Rural Living Condition Through One Village One Product (OVOP) Movement
Development of three (3) ASEAN Technology Business Incubator (TBI) Models; Set up the ASEAN TBI Network called ABINet
Development of eight (8) SME toolkits (tourism) based on ILO Community-Based Enterprise Development approach through the "ASEAN Small Business Competitiveness Programme"
Promotion of youth entrepreneurship through the “ASEAN Youth Creative Industry Fair (AYCIF)”
Conduct of 19 programs benefitting more than 700 representatives from AMS incubator centers to be Teaching Incubation Centers (TIC)
Development of the Credibility Index for SMEs (CIS) Local Models and the Multiversity Education System (AIIT Model) through the "Comprehensive Industrial Human Resource Development (Ci-HRD) Project"
Training on SME development among 25 representatives from CLMV
List of JAIF Projects on MSMEs
As of 30 June 2018