By Le Quang Lan
Digitally interconnecting ASEAN through a unified system of business identification is moving closer to reality following the adoption of the Implementation Roadmap for the Unique Business Identification Number of ASEAN (UBIN) in early 2025. The initiative aims to enable businesses across the region to verify their identities in real time through interoperable digital infrastructure, ultimately supporting seamless cross-border trade.
With UBIN, enterprises of all sizes will be able to operate with greater confidence and agility, boosting regional commerce and accelerating economic growth. Nadhir Ashafiq, co-founder of The Lorry, noted the importance of alignment across the bloc, commenting that young entrepreneurs want easier business approval, setup, and harmonization of procedures across ASEAN. UBIN reflects this vision of a business environment where trade knows no barriers and opportunity is within reach for all.
Driving ASEAN’s Digital Transformation
ASEAN has identified digitally enabled trade as a key driver of economic growth. The acceleration began with the endorsement of the Bandar Seri Begawan Roadmap: An ASEAN Digital Transformation Agenda to Accelerate ASEAN’s Economic Recovery and Digital Economy Integration in 2021. Progress continued with the launch of the ASEAN Digital Economy Framework Agreement (DEFA) in September 2023—the first regionwide agreement of its kind.
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Supported by the Government of Australia through the Aus4ASEAN Futures Initiative, ASEAN began exploring an interoperable regional digital business identity in 2023. This work resulted in the endorsement of the “Benchmarking Guidelines on Unique Business Identification Number (UBIN) in ASEAN” by ASEAN Economic Ministers during their 55th Meeting in August 2023, followed by a mandate to implement the UBIN initiative across the ASEAN Member States.
The new UBIN Implementation Roadmap guides each member state in building a regionally interoperable digital business identification system. Secretary-General of ASEAN Dr. Kao Kim Hourn highlighted the initiative’s importance, stating that digital interconnectedness has become a vital economic and social infrastructure and that UBIN will help remove longstanding barriers to cross-border trade while fostering trust in a connected, competitive global economy.
Introduction to the ASEAN Unique Business Identification System
The ASEAN UBIN is designed as a framework that enables interoperability among member states—establishing a reliable digital business ID to support cross-border activities. It is built around five core components: data for accurate and secure exposure of information between business registries; technology to create a decentralized, interoperable system with real-time verification; governance to manage the UBIN system at national and regional levels; regulations aligned with existing data protection and privacy laws; and enablers such as capability-building programs to ensure sustainable implementation.
Analysis by the Boston Consulting Group estimates that full implementation could unlock between $110 billion and $300 billion in economic value, equivalent to 10–25 percent of the total DEFA value-add to ASEAN’s digital economy. The projected growth is expected to be driven by increased cross-border trade value, improved trade cost efficiency, and higher foreign direct investment, strengthening national economies and advancing regional prosperity.
Driving Equal Opportunities for Economic Growth in ASEAN
Inclusive growth is central to ASEAN’s approach. By reducing systemic barriers and encouraging equitable access, UBIN has the potential to empower micro, small and medium enterprises—including women-led businesses—to participate fully in global trade.
MSMEs account for 97–99 percent of businesses in ASEAN and contribute around 45 percent of GDP, yet only 18 percent currently export. Barriers such as complex customs procedures, foreign regulations, and limited trust in international partners have constrained participation. UBIN aims to streamline these challenges through practical use cases that support easier market access.
Women-owned businesses face disproportionate challenges, with 31 percent more likely to remain informal due to regulatory hurdles. Although e-commerce has opened new opportunities for cross-border sales, persistent issues remain, including lack of trust from foreign buyers and difficulty scaling operations. UBIN could enable simpler business formalization and compliance, reducing these barriers. One of the initiative’s key features—a recognized digital business ID—also aims to improve access to finance by enhancing the credibility of women-led enterprises. With 70 percent of such businesses struggling to obtain credit and a 9 percent gender gap in financial services, streamlined compliance and digital documentation could help lower the threshold for obtaining formal financing.
An Implementation Roadmap for a Unified Digital Trade
The UBIN vision is built on five principles: sovereignty and inclusivity that allow each member state to control its data and rules; security and resilience through scalable, open-source technology; interoperability for standardized information exchange; lean and non-intrusive design that minimizes regulatory changes; and an MSME trade-focus to boost participation in regional and global markets. Each member state is positioned to fully participate without being left behind.
The Implementation Roadmap outlines five milestones. “Basecamp Established” focuses on establishing governance and stakeholder training. “Ascent Commenced” begins technical implementation through partner selection and funding. “Momentum Gained” introduces the first enable use cases. “High Altitudes Reached” rolls out advanced use cases such as e-contracts. “Summit Achieved” represents the end state where UBIN is fully implemented and functions as the regional trust anchor.
Initial use cases include “Company Search” and “Data as a Service,” which will allow standardized regional verification of registered companies through a region-wide search feature including company names, national IDs, and registered addresses. These services intend to help businesses verify potential partners quickly and accurately, enhancing trust and confidence in ASEAN credentials.
Over time, UBIN would enable the verification of key documents used in cross-border transactions—including invoices, trade licenses, and customs permits—ensuring authentication and preventing tampering. This is expected to generate significant time and cost savings while creating a safer business environment for MSMEs.
The development of the UBIN Implementation Roadmap marks a significant milestone in ASEAN’s journey toward deeper regional economic integration. Through UBIN, ASEAN envisions a future where enterprises of every size can participate in a fully interconnected regional marketplace.
Dr. Le Quang Lan is Director, Market Integration Directorate at the ASEAN Secretariat.
