AGP Executive Report

Markets: Asian chip stocks surged as renewed AI optimism lifted South Korea and Japan, though regional markets were mixed ahead of major earnings and central bank decisions. Japan–Bangladesh Ties: Tokyo expects Japanese companies to invest 1 trillion yen ($6 billion) in Bangladesh over five years, with both governments expanding a plan to develop the Bay of Bengal region. Regional Investment: Malaysia’s investment agency urged Borneo’s three countries to coordinate rules and supply chains, after Sabah and Sarawak drew less than 7% of Malaysia’s approved investment last year. Energy Transition: Singapore will study geothermal power after a survey found large potential beneath the city-state, while building expertise in nuclear safety and regulation. Critical Minerals: Malaysia approved a US-linked startup’s first permit to export rare-earth material for research, part of efforts to develop domestic refining capacity. Climate Resilience: A $112 million ADB-backed project aims to help 200,000 Cambodian farmers adapt to extreme weather. Tourism: Cambodia’s international arrivals fell 43.7% in the first nine months of 2026, amid scam-related reputational damage, border friction and global travel pressures.

Regional Trade: GCC and ASEAN leaders called for deeper economic integration and investment links, arguing stronger regional ties can build resilience amid shifting supply chains. Energy Security: Saudi Arabia plans to store crude in Singapore from 2027, bringing supplies closer to Asian markets after war-related disruption to Gulf oil flows. Myanmar Sanctions: A Reuters investigation found a $15.8 million shipment labelled as South African diesel was Iranian jet fuel delivered to Myanmar, with documents apparently disguising its origin and buyer. China Politics: A purported open letter from Chinese students called for restoring presidential term limits, but investigators could not verify its origin; the website was registered with links to South Korea and Singapore. Wildlife Trade: Five baby orangutans found in India, far from their native Southeast Asian habitat, have raised fresh concerns about illegal trade and gaps in controls on imported animals. Media: More than 200 news leaders from 35 countries gathered in Singapore to discuss AI, misinformation and declining public trust.

Maritime Security: Malaysia says it is stepping up surveillance and cooperation with Indonesia, Singapore and Thailand to keep the Strait of Malacca safe and open to trade. Energy Security: Saudi Arabia and Singapore plan to store Saudi crude in Jurong’s underground caverns from late 2027, strengthening supply resilience for Singapore and Southeast Asia. Asian Cup: The 2027 tournament schedule is confirmed, with Saudi Arabia opening against Palestine on Jan. 7; organizers say preparations are on track despite regional security concerns. Border Heritage: Thailand rejected Cambodia’s claim to two temples near their border, saying the sites are registered as Thai monuments, adding a cultural dispute to already sensitive relations. Malaysia’s F1 Bid: Sepang is preparing a feasibility study for the race’s return, with a Cabinet proposal due in November and economic impact, transport and congestion among the key considerations. Media and Technology: More than 200 media professionals from 35 countries gathered in Singapore, where leaders urged collaboration as AI reshapes journalism and misinformation tests public trust.

Regional Security: Saudi Arabia reopened Riyadh’s airport despite Houthi threats, as the group claimed new missile attacks and Saudi forces reported intercepting missiles and drones. Regional tensions are disrupting travel and events, while crude nears $120 a barrel amid supply fears. Asian Para Games: China topped the medal table in Aichi-Nagoya; India finished fourth with a record 114 medals, while Malaysia said it would expand its search for future athletes after winning 27 medals. Trade Links: Qatar and Kyrgyzstan agreed to form a joint business council, while a Doha forum explored investment ties between the Gulf and ASEAN. Bangladesh’s apparel exports to Japan also rose to a four-year high share, opening room to diversify markets. Conservation: Beijing’s Yeyahu Wetland has joined the IUCN Green List after years of restoration, earning the first such recognition in the Beijing-Tianjin-Hebei region.

Energy Shock: Brent crude climbed 6.2% this week to above $116 a barrel as conflict in the Middle East and attacks on Saudi Arabia threaten supplies, adding pressure on Asian economies. ASEAN in the Philippines: Road closures around Manila’s summit venues are in effect, while some Lapu-Lapu schools are moving classes online or to asynchronous learning during regional defence meetings. Para-Sport Milestone: India finished fourth at the Asian Para Games with a record 114 medals, including 30 golds, despite sending a smaller team than in 2023. Tech and Power: Vietnam is seeking a bigger role in the semiconductor supply chain, with exports growing rapidly; in Malaysia, Japan’s JERA says data-centre growth will require more power generation, transmission capacity, land and water. Public Health: Nepal remains polio-free, but health experts warn that open borders and continued circulation of the virus abroad make vaccination and surveillance essential.

Sport: Doha hosted the 50th International Hockey Federation Congress, while Qatar will stage the Men’s Asia Cup Rising Stars from Nov. 19, with India A and Pakistan A set to meet in the group stage. Asian Para Games: India finished fourth with a record 114 medals as China topped the table; the UAE took nine medals and finished 17th. Regional Haze: Indonesian fires have sent toxic smoke across Southeast Asia, prompting school closures and the region’s highest haze alert. A new call for action says ASEAN’s 2002 haze agreement still lacks key enforcement measures. Central Asia: Kazakhstan marked Republic Day at a reception in Tajikistan, highlighting its economic weight and ambitions to grow as a transport and logistics hub. Tourism: Malaysia is unlikely to meet its 47-million visitor target this year, with arrivals below plan since March and the Iran war disrupting travel.

Public Health: Nepal’s polio-free status depends on continued vaccination and surveillance, WHO’s South-East Asia polio chief warned, citing cross-border movement and the risk of the virus returning. Regional Tensions: Saudi Arabia, Türkiye, Pakistan and Egypt blamed Israeli policies for instability and renewed calls for a two-state solution. Energy experts warn conflict around the Strait of Hormuz could drive up oil prices and threaten Gulf infrastructure. Trade Links: Kazakhstan is offering to help Kenyan tea and coffee exporters reach Central Asian markets, while Kyrgyzstan urged Central Asian countries and Georgia to diversify trade routes. Industry: Thailand has attracted 35 advanced-materials investment proposals worth about $690 million since 2023, targeting supply chains for AI, electric vehicles and clean energy. Para-Sport: India finished the Asian Para Games with a record 114 medals; Hong Kong athletes won 41. India has also named its squad to defend the Blind Cricket Asia Cup title in Dhaka. Climate: A new study finds East Asian rain fronts shifting north, raising the risk of late-season heat and torrential downpours.

Regional Security: China’s new air-force base in Laos is sharpening concern over Beijing’s reach in Southeast Asia, as the U.S. shifts forces toward the Persian Gulf and regional allies question Washington’s commitment. Myanmar: Aung San Suu Kyi spoke with her son for the first time in five years; he said the 81-year-old detained leader sounded strong, despite fears about her health. India’s Economy: Private-sector activity hit a four-month high in October, with services and export orders driving growth, though hiring remained subdued. India–Nepal Ties: Nepal’s finance minister said the era of equating nationalism with anti-India sentiment was over, and signalled a push to deepen ties. Climate: Indonesian wildfire haze has triggered student protests across Southeast Asia, while a global assessment warns that 96% of shallow-water reefs—including parts of the Coral Triangle—face critical threats. Para Games: India posted a record 114 medals in Nagoya, including 30 gold, finishing fourth overall.

Para Games: Asian athletes delivered a record-breaking run in Aichi-Nagoya, with India passing 100 medals and shooter Mona Agarwal setting a world record on her way to a second gold. Markets and Energy: Asian stocks steadied after an AI-driven tech selloff, but Brent crude climbed to a five-month high of $114.10 a barrel as Middle East tensions stoked supply fears. Digital Economy: Southeast Asia’s digital economy is forecast to grow 17% to $368 billion this year, with AI use rising fast and Vietnam leading the region in daily generative AI use. Trade Disruptions: Typhoon Champi has halted or restricted operations at ports along China’s coast, interrupting the recovery of East Asian shipping schedules. India’s Economy: Business activity accelerated to its fastest pace since June, though hiring growth slowed to its weakest level of the year. Climate Risk: The UN warns an unusually strong El Niño could bring extreme heat, drought and floods across Asia.

Regional Business: Taiwan blocked Grab’s $600 million purchase of Foodpanda’s local business, citing concerns that Grab’s ties to Uber could weaken competition. Clean Energy: ASEAN’s transition is held back by a shortage of investment-ready projects, not a lack of capital; renewables supplied just 14% of the region’s energy in 2024, against a 30% target for 2030. Climate: The IUCN warns that 96% of the world’s shallow-water coral reef systems face critical risk, with climate-driven heat stress the leading threat. Malaysia’s Tech Sector: Synology reported strong double-digit sales growth in Malaysia, driven by demand for data storage from government and healthcare organisations. Regional Security: India and Uzbekistan agreed to deepen counterterrorism cooperation, including information sharing and efforts to curb extremist financing and the misuse of technology. Asian Para Games: India’s Sheetal Devi clinched women’s compound archery gold, adding to a strong medal run by athletes from across the region.

Energy and Markets: Brent crude climbed above $110 a barrel as attacks in Saudi Arabia and threats to shipping heightened fears of supply disruption, weighing on Asian stocks. Para Sports: Asian Para Games athletes delivered standout results in Nagoya: India’s Sheetal Devi won compound archery gold, Pakistan’s Haider Ali took discus silver and Sri Lanka’s Galina Basnayake earned a swimming silver. Digital Economy: Southeast Asia’s digital economy is forecast to grow 17% to US$368 billion this year, with AI driving much of the expansion and the market projected to reach US$1.1 trillion by 2035. Climate Readiness: Scientists warn a proposed delay to the IPCC’s next major assessment could leave ASEAN and Mekong countries without timely guidance as climate risks intensify for farmers and communities. Travel: Asia-Pacific visitor arrivals reached 96.3% of pre-pandemic levels in early 2026; meanwhile, ZIPAIR has launched daily Tokyo–Kuala Lumpur flights, adding more than 2,000 weekly seats.

Japan’s Regional Role: Sanae Takaichi marked her first year as prime minister amid strained ties with China and criticism that her security-policy shift risks adding to regional tensions. Climate Risk: The ADB warns Asia-Pacific coastal flood damage could reach $739 billion a year by 2100; annual protection spending of $9 billion to $19 billion could prevent substantial losses. Jobs and Growth: South Asia must create tens of millions of jobs for young workers, the World Bank says, as many remain in low-productivity work. Southeast Asia’s digital economy, meanwhile, is forecast to grow 17% to $368 billion this year, with AI helping drive expansion. Regional Links: Uzbekistan and Bangladesh signalled interest in deeper cooperation on development, climate change and regional ties. Para Sports: Athletes from across Asia are setting records and winning medals at the Aichi–Nagoya Asian Para Games.

Asian Para Games: India opened with 11 medals, while Deepthi Jeevanji won 400m gold in a Games-record 56.36 seconds and archers Sheetal Devi and Payal Nag took silver. Trade: India’s free-trade agreement with New Zealand took effect, giving Indian exports duty-free access and aiming to double bilateral trade by 2030. Markets: South Korea’s Kospi rose 3.3% and Japan’s Nikkei gained 0.9% as tech stocks rallied; markets in Hong Kong and Shanghai fell. Climate: The ADB warns annual coastal flood losses across 30 Asia-Pacific economies could reach US$199 billion by 2050 without adaptation, and says protection investments can deliver benefits up to 20 times their cost. Business: Taiwan blocked Grab’s US$600 million Foodpanda deal, citing competition concerns. Innovation: Vietnam’s FPT and Copenhagen’s Niels Bohr Institute agreed to collaborate on quantum research and talent development.

Energy Diplomacy: India’s S. Jaishankar, U.S. Secretary of State Marco Rubio and the UAE foreign minister discussed energy security and economic cooperation as West Asia tensions threaten supplies. Regional Trade: Vietnam and Denmark upgraded ties to a Comprehensive Strategic Partnership, while the India–New Zealand free-trade agreement took effect, opening new scope for trade and investment. Cross-Border Haze: Indonesian wildfire smoke continues to disrupt Southeast Asia, with schools closed in Timor-Leste and Singapore imposing temporary restrictions on Asia Pulp & Paper. Bangladesh Politics: Former prime minister Sheikh Hasina says she is ready to return despite risks, after being sentenced to death in absentia. Asian Para Games: India’s athletes won 14 medals, including five gold, on Tuesday, led by record-setting performances from Nishad Kumar and Deepthi Jeevanji. Security Watch: A new China-Laos training and aviation facility raises questions about Beijing’s military footprint in mainland Southeast Asia, while U.S. diplomacy in Central Asia is seeking stronger trade and critical-minerals ties.

Regional Haze: Smoke from Indonesian wildfires has spread across Southeast Asia, forcing school closures in Timor-Leste as Indonesia accepts foreign help to fight the blazes. Scam Crackdown: Cambodia says it has referred nearly 450 cases involving about 4,000 people to court, but scrutiny remains over whether alleged links between scam networks and political elites will be investigated. US–Central Asia Ties: Washington and Uzbekistan signed 54 agreements worth $12 billion covering transport, energy, minerals and technology during Marco Rubio’s visit. Para Games: India opened with 11 medals at the Aichi-Nagoya Games, while Mongolia’s Surenjav Ulambayar won gold in para taekwondo. Human Trafficking: The Philippines retained the US’s top-tier ranking for the 11th year, as ASEAN prepares to discuss cross-border crime cooperation. Innovation: Malaysia held 34th place in the 2026 Global Innovation Index, with a higher score than last year. China’s Economy: Growth reached 4.5% in the third quarter, powered by exports, while weak domestic demand and trade barriers remain concerns.

Asian Para Games: India opened strongly in Aichi-Nagoya, winning 11 medals on the first day, while Malaysia’s Zuhairie Ahmad Tarmizi claimed its first gold. Central Asia diplomacy: U.S. Secretary of State Marco Rubio met Central Asian leaders in Samarkand, seeking closer trade and security ties; Washington and Uzbekistan announced $12 billion in agreements. Regional haze: Malaysia proposed an ASEAN mechanism to coordinate action as Indonesian wildfires spread hazardous smoke and disrupt daily life across the region. Food prices: Shipping disruptions and drought are tightening supplies, with rice prices already at record highs in Indonesia and rising across Asia. Cambodia banking: APD Bank customers protested withdrawal restrictions as three branches prepare to close, saying they still lack clear answers about access to their deposits.