Opportunities in AEC, but SMEs face challenges: report

Singapore

SMALL and medium-sized enterprises (SMEs) in the region stand to gain from the creation of the Asean Economic Community (AEC), but navigating the complexities of international trade will be challenging, according to a report from ACCA (Association of Chartered Certified Accountants).

The report titled "SME Development in Asean" found that the AEC offers significant opportunities for SMEs through the liberalising of trade tariffs and access to global value chains.

But findings also show that the further opening of borders poses significant challenges to SMEs across the region, which include difficulty in accessing finance and technology, and the competitive nature of markets. Other reported issues include entrepreneurship, difficulties of compliance with standards, and the lack of marketi…