What’s Next for AI Governance in ASEAN?

ASEAN is a remarkably diverse region. With over 655 million individuals and 11 official languages across ten states, AI is expected to have a significant impact on every facet of life in ASEAN. AI is already changing how we think about safety, governance, and public discourse, among many other aspects of our social, political, and economic tapestries. A key focus of 2024 among ASEAN nations is how this technology will be designed, developed, and deployed responsibly and ethically.

However, ASEAN faces considerable disparities when it comes to AI governance. Even among five key ASEAN economies – Singapore, Malaysia, Thailand, Indonesia, and the Philippines – we see varying levels of AI readiness. These five countries show significant differences across digital infrastructure, human capital and labour market policies, innovation and economic integration, and regulation and ethics. These dimensions form the fundamental building blocks of how prepared a country is to adopt and diffuse AI across its economy and society safely.

Singapore emerges as a clear leader in terms of readiness, boasting advanced digital infrastructure, a skilled workforce, and mature regulatory frameworks. Initiatives such as the AI Verify toolkit, institutions such as AI Singapore, and strategic investments in AI research position Singapore as a notable frontrunner in responsible AI governance. Almost ubiquitous internet access, a highly educated workforce and general openness to adoption of new technologies in a responsible manner provide an excellent model for AI governance.

In contrast, countries like the Philippines and Indonesia grapple with foundational challenges. In the Philippines, uneven digital infrastructure, particularly in rural areas, limits access to AI-driven technologies. Relatively low levels of digital literacy further hinder the development of an AI-ready workforce. Indonesia faces similar challenges in digital access, but also lags in research and development (R&D) investments, limiting its ability to integrate AI into its economy effectively.

Malaysia and Thailand occupy an intermediate stage, demonstrating progress but with considerable room for growth. Malaysia’s strong internet penetration and educational investments provide a strong base for AI adoption, yet rural connectivity gaps and uneven educational outcomes remain as barriers. Thailand’s National AI Strategy and expanded internet access are excellent steps towards nation-wide AI adoption, but fragmented regulations and limited R&D funding challenge its ability to scale AI applications effectively. A further limitation is the lack of a sovereign large language model (LLM), hindering any culturally- and linguistically-specific use cases across the nation.

Despite these differences, the global landscape of AI governance reveals stark contrasts that ASEAN is strategically positioned to navigate differently. The region’s diversity presents a unique advantage in developing a harmonized AI governance framework.

The next step for AI governance in ASEAN is establishing an ASEAN-wide network focused on AI safety and governance. Such a network could function as a platform for sharing best practices, harmonizing regulatory standards, and fostering cross-border cooperation. By pooling resources and expertise, ASEAN nations could address shared challenges, such as data governance and ethical AI implementation, while leveraging their diversity to drive innovation.

While global powers like the European Union and China have adopted highly prescriptive approaches to AI regulation – with the EU focusing on comprehensive risk management and China emphasizing state-directed technological development – ASEAN offers an alternative model. The region’s approach is characterized by flexibility, potential for collaboration, and a nuanced understanding of technological integration into local contexts.

The establishment of such an ASEAN-wide AI safety and governance network can address shared challenges, but also offers an innovative third path in AI governance. This network can act as a regional mechanism for sharing best practices, harmonisation of regulations and policies, and promote cross-border cooperation.

Nonetheless, investment in foundational capabilities remains crucial. Beyond establishing national governance frameworks, ASEAN nations must prioritize:

  • Developing sovereign technological capabilities;
  • Creating multilingual AI models and/or sovereign LLMs;
  • Supporting local technological ecosystems; and
  • Establishing multilateral research partnerships.

Economic projections underscore the strategic importance of this approach. Effective AI integration could result 10-18% in GDP growth: an estimated US$1 trillion by 2030.[1] The immediate effects on certain key sectors such as agriculture, healthcare, finance and education would be felt almost immediately.

The most significant challenge – and opportunity – lies in transforming technological disparities into a collaborative advantage. Countries like Singapore, with its advanced digital infrastructure and mature regulatory frameworks, can provide leadership and support to nations still developing their AI capabilities. On the other hand, countries like Malaysia and Indonesia can also show how targeted use cases and uniform adoption of AI principles and ethics can encourage growth in key economic sectors responsibly. The goal of such an ASEAN-wide AI safety and governance network is not uniformity, but an adaptable, responsive approach that allows each nation to leverage its unique strengths.

By pooling resources and expertise, ASEAN can address shared challenges such as cross-border data governance, ethical AI implementation, and digital infrastructure development. The region’s diversity thus becomes a strategic asset – enabling a more nuanced, culturally sensitive approach to technological innovation.

The next step for AI governance in ASEAN is clear: establish a comprehensive, adaptive AI governance framework that balances technological ambition with ethical considerations. This approach goes beyond mere regulation: it represents a potential model for responsible technological development that drives innovation while reflecting the region’s unique social, economic and cultural landscape. This effort will position ASEAN as a global leader of AI governance and adoption, deftly showcasing how ASEAN can become a leading voice on the global AI governance stage.

[1] https://asean.org/wp-content/uploads/2024/06/ADOPTED-AMMSTI-Statement-on-AI_7June2024.pdf

Posted in

Related Articles

Treading a Delicate Tightrope: Singapore’s Economic Strategy in an AI Era

Treading a Delicate Tightrope: Singapore’s Economic Strategy in an AI Era By Nicolette Chua   Singapore has long built its economic strategy around a clear understanding of scale. As a small, trade-dependent economy, Singapore’s competitive advantage lies in planning ahead, building high-trust institutions and creating a conducive economic climate where both businesses and human capital […]

Trump–Xi Summit: Managing a More Competitive US–China Relationship

Trump–Xi Summit: Managing a More Competitive US–China Relationship By Muhammad Verdias Yurindra   US President Donald Trump and Chinese President Xi Jinping concluded Xi’s state visit to Washington on 25 September, with discussions covering trade, investment, critical minerals, artificial intelligence (AI), counter-narcotics and broader geopolitical issues. The summit produced several economic and diplomatic understandings aimed […]

58th ASEAN Economic Ministers’ Meeting: DEFA and the Future of ASEAN’s Digital Economy

58th ASEAN Economic Ministers’ Meeting: DEFA and the Future of ASEAN’s Digital Economy By Anandita Pathak   The 58th ASEAN Economic Ministers’ Meeting and Related Meetings were held from 19-22 September 2026 in Manila, Philippines, under this year’s theme “Navigating Our Future, Together”. The meeting focused on enhancing ASEAN’s regional economic integration and resilience agenda, […]