Asian Development Bank
As Asia’s fast-paced economic growth continues, underlying challenges in employment and enterprise development become increasingly urgent. Topic A outlines much of Asia's informal labour force, which is made up of over 60% of citizens across ADB member states. These jobs lack contracts and social protection, leaving millions vulnerable to unsafe working conditions, exploitation, and low wages. As the region's most prominent development financier, the ADB has both the economic and legal influence to make significant changes. The COVID-19 shock highlighted Asia’s economic fragility when incomes and wages dropped by about 60%, causing many households to fall below the poverty line and eroding national productivity. By directing investments toward initiatives built to protect employees, through pathways toward widespread market access, the ADB can sustainably grow the informal economy while also protecting workers from future crises. This not only establishes long-term economic resilience in Asia but also reinforces the Bank’s core mission of tackling poverty.
Topic B shifts attention to the role Micro, Small, and Medium Enterprises play in molding Asia's business landscape, accounting for roughly 70% of total employment and over 99% of registered businesses in Asia. These enterprises are critical to the function of global supply chains and local economies alike. However, MSMEs often struggle to access financing and implement digital transformations – limiting their resilience to withstand macroeconomic volatility. Strengthening and expanding MSMEs is critical in improving the long-term competitiveness of Asian economies on the global stage and for those dependent on these enterprises to ensure economic and social security and prosperity.
