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MINISTER of Investment, Trade and Industry Tengku Zafrul Abdul Aziz has called on ASEAN small and medium enterprises (SMEs) to “scale beyond survival” and reimagine themselves as strategic players in the region’s economic future.
Speaking at the ASEAN SME Economic Conference held at Menara MITI today, the Minister said:“It is an honour to stand before you today—not just as a representative of Malaysia’s Ministry of Investment, Trade and Industry, but as a firm believer in the power of small and medium enterprises (SMEs) to shape the future of our region.”
Tengku Zafrul stressed that SMEs are not only vital to Malaysia—contributing nearly 40 per cent to GDP and employing close to half the national workforce—but are also the lifeblood of ASEAN’s economic ecosystem, making up over 97 per cent of businesses in the region.
He warned, however, that access to a large market alone is insufficient without technological readiness, strategic partnerships and financing mechanisms.
“Their true potential—especially in the regional and global arena—is still waiting to be unlocked,” he said.
From Local Hustle to Regional Muscle
Under the New Industrial Master Plan 2030 (NIMP2030), Malaysia aims to shift SMEs from the periphery of industrial policy to its core.
“The NIMP places you—our SMEs—at the centre of transformation,” he stated. “Not just surviving, but scaling. Not just players with local hustles, but contenders with regional muscle.”
He outlined a move from short-term grants to long-term empowerment, citing support instruments such as export facilitation, digitalisation incentives, and smarter financing frameworks.
Highlighting emerging technologies, the Minister cited examples where SMEs have already begun leveraging artificial intelligence (AI), robotics and the Internet of Things (IoT) to scale operations and meet international standards.
“There are already companies using AI-powered high-speed precision robots for defect detection, which ensures consistent quality and reduces waste,” he said.
Quantum computing, generative AI, and digital twins were also referenced as emerging tools to simulate production, personalise marketing and increase global competitiveness.
“These technologies help SMEs meet global standards for quality, traceability and sustainability,” said Tengku Zafrul. “They support a faster, more intelligent response to demand shifts and supply chain disruptions.”
Financing the Future
To support growth, the government has intensified collaboration with commercial banks, development financiers and institutions such as MIDF and CGC to introduce more inclusive funding models.
“Capital should never be the reason a great idea stays small,” he added, noting the importance of accessible financing for women-led, youth-led and rural enterprises.
He encouraged SMEs to tap into MATRADE’s digital trade platforms and global missions, including initiatives such as MIHAS and the MADANI Digital Trade platform, which help streamline processes and open international doors.
Inspiring the Next Chapter
Recounting the journeys of successful Malaysian SMEs such as Farm Fresh and Toko, the Minister underlined the importance of storytelling in amplifying the SME ecosystem.
“Stories of success inspire and uplift us,” he said. “But the key takeaway is always this—who enabled them, and how can they now enable others?”
He thanked co-organisers and supporters including YB Datuk Ewon Benedick of KUSKOP, CIMB Group, ASTRO, WPP Media, and the Credit Guarantee Corporation for “enriching MITI’s ASEAN events through this SME Economic Conference”.
In his closing remarks, Tengku Zafrul delivered a powerful message to the entrepreneurs in attendance:
“To every SME startup, manager, and worker listening today: You are not small. You are strategic. You are the future of ASEAN. MITI stands with you. You will never walk alone—from ideation to internationalisation, from startup to scale-up.”
“When SMEs rise, Malaysia, too, will rise.” - October 9, 2025
