Southeast Asia Poised to Reap Rewards of Fourth Industrial Revolution
SINGAPORE, May 30, 2016 – Southeast Asian countries have the potential to leapfrog ahead of other developing nations by embracing new technologies to transform how people work, live and play, according to a new report by real estate consultancy JLL. Ahead of the World Economic Forum on ASEAN, taking place in Kuala Lumpur, Malaysia on 1 and 2 June, JLL has released a report looking at how advanced digital technologies could impact countries in the newly established ASEAN Economic Community (AEC), a trading bloc of 10 Southeast Asian nations. Chris Fossick, Managing Director, Singapore & South East Asia, JLL, says: “In many ways, new technologies will allow people to bypass current constraints and leapfrog into greater efficiency. The impact on real estate and infrastructure in Southeast Asia is likely to be positive and transformational. If harnessed effectively, the changes will bring improved productivity, income levels and quality of life to the population.” Southeast Asian economies are forecast to grow at 5 percent annually until 2020, exceeding global growth of 3.5 percent. The urban population in Southeast Asia’s cities is growing by around 2.2 percent annually and the middle income population is set to increase by 70 million to 194 million by 2020. New ways to work In the sphere of work, demand for office space will change due to greater outsourcing from developed markets, more flexible work practices, and an increase in co-sharing spaces. Regina Lim, National Director, Advisory & Research, Capital Markets, JLL and author of the report, says: “While growth in demand for office space slowed after the global financial crisis, Southeast Asia has bucked the trend, with demand expected to grow at 6 percent per year until 2020 due to economic growth, further acceleration of outsourcing from developed markets, and the rise of the middle class. In […]