When the ASEAN Cooperative Dialogue (ACD2025) convened at Sunway Resort Hotel in Malaysia under the theme “Cooperatives Build a Better World,” it signaled more than a routine gathering of stakeholders. It brought together a diverse community unified by a shared vision of an ASEAN that is fairer, more resilient, and more inclusive. With Malaysia chairing ASEAN in 2025, the symbolism of hosting such a strategic event on its own soil could not have been more significant — nor more timely.
Organised by the ASEAN Cooperative Organization (ACO) and Malaysia’s national cooperative apex body, ANGKASA, the dialogue underscored a growing consensus across the region: cooperatives are not merely economic units; they are vital engines for social empowerment, equitable development, and community resilience.
As moderator of the panel titled “Building a Better World: Inclusivity and Sustainability of the Cooperative Agenda in ASEAN,” I had the honour of engaging with two distinguished experts: Mr. Balasubramanian (Balu) G. Iyer, Regional Director of the International Cooperative Alliance (ICA) – Asia Pacific, and Mr. Robby Tulus, Chief Advisor of Indonesia’s INKUR. Our discussion underscored a central, often overlooked truth — that any serious blueprint for inclusive development must place cooperatives at its core.
This insight is especially critical in the context of the region’s persistent inequality.
The reality of poverty amid plenty remains stark. Despite ASEAN’s overall economic growth, more than 90 million people still live below the poverty line, earning less than $1.90 a day. At the same time, the region is now home to over 100 billionaires — with personal fortunes that continued to grow even during the COVID-19 pandemic and subsequent economic slowdowns. This widening gap is not just an issue of inequality; it is a systemic failure in governance and resource distribution.
Cooperatives present a viable, proven model for bridging this divide. By redistributing economic power to the grassroots, they offer platforms for financial inclusion, community entrepreneurship, and job creation. Critically, they help integrate unbanked and underbanked populations into the formal economy, fostering dignity and upward mobility. With more than 715,000 registered cooperatives and tens of millions of members across ASEAN, their influence is anything but marginal. Rather, they represent a community-rooted, people-driven network that has already demonstrated its value — particularly in post-pandemic recovery efforts and amid increasing climate vulnerabilities.
Nowhere is this clearer than in Malaysia’s own cooperative landscape, which serves as a model of practical innovation and policy alignment. Overseen by the Ministry of Entrepreneur and Cooperatives Development (KUSKOP), Malaysia’s cooperative sector contributes approximately 3.5% to national GDP. With over 15,000 registered cooperatives and more than 7 million members, the sector is both broad in reach and deep in impact.
Among the many success stories, three stand out. The Koperasi Polis Diraja Malaysia Berhad (KPD) supports members of the Royal Malaysian Police and their families by managing billions of Ringgit in assets, while providing essential financial services such as accessible loans. Koperasi Tentera (KT), initially founded for members of the Malaysian Armed Forces, has expanded to become one of the country’s most respected financial cooperatives, offering a robust suite of investment options and banking products. Meanwhile, Koperasi Permodalan Felda (KPF) plays a transformative role in rural development by providing settlers and FELDA workers with equity ownership and annual dividends, fostering not only economic growth but a sense of agency.
Much of this progress has been made possible under the leadership of YBhg. Datuk Seri Dr. Abdul Fattah Abdullah — a key figure in the regional cooperative movement who serves simultaneously as President of ANGKASA, President of the ASEAN Cooperative Organization, and Vice President of ICA Asia Pacific. His efforts have not only strengthened Malaysia’s national cooperative framework but also expanded its regional influence.
As our panel explored the intersection of cooperatives with the United Nations Sustainable Development Goals (SDGs), it became increasingly clear that these community-based organisations are uniquely suited to meet the challenges of today’s volatile world. Whether facing pandemics, environmental shocks, or economic disruptions, cooperatives respond with agility because they are embedded within the communities they serve. Mr. Iyer emphasised that their decentralised structure enables swift, localised responses to crises. Mr. Tulus stressed the importance of creating policy frameworks that ensure the cooperative model delivers not just on sustainability in theory, but in practice.
The presence of Malaysian policymakers further demonstrated that the government views cooperatives as a strategic partner in nation-building. Both YB Dato’ Sri Ramanan Ramakrishnan and YB Datuk Ewon Benedick highlighted how cooperatives support national goals — from uplifting rural communities to bridging the digital divide and building entrepreneurial capacity.
With this growing recognition at both grassroots and governmental levels, ASEAN now finds itself at a critical inflection point. As Malaysia holds the ASEAN chair in 2025, it has an opportunity — and arguably, a responsibility — to advance a cooperative-first approach to regional development. But good intentions must be backed by institutional frameworks. To this end, the establishment of an ASEAN Cooperative Development Platform (ACDP) as a tangible outcome of ACD2025.
The proposed platform would serve several key purposes. First, it could support policy harmonisation by encouraging member states to align their cooperative laws and regulatory frameworks, thus enabling easier cross-border cooperation and investment. Second, it could drive knowledge-sharing by developing a digital hub for cooperative education, best practices, and innovation — with a particular focus on youth, digital skills, and rural entrepreneurship. Third, the platform could help unlock access to finance and regional markets by facilitating partnerships with multilateral development banks, impact investors, and public-private initiatives aimed at scaling cooperative enterprises.
Importantly, the ACDP could be integrated within the ASEAN Economic Community (AEC) framework, thereby reinforcing its legitimacy and ensuring alignment with broader regional strategies on trade, digitalisation, and sustainable development.
This is not a call for nostalgia. The cooperative model is not a legacy institution of the past — it is a viable pathway for the future. A future in which community, sustainability, and shared prosperity are not idealistic aspirations, but guiding principles of economic policy. A future where inclusive growth is measured not by headline GDP, but by how equitably wealth and opportunity are distributed.
The foundation has already been laid. With the momentum generated at ACD2025, ASEAN has a real chance to lead the way, not just in policy rhetoric, but in action. Cooperatives are ready. The question now is, are we ready?
This article was written by Nordin Abdullah, Founding Chairman of the Malaysia Global Business Forum and the Crisis Management Centre.
*Disclaimer: The views expressed are those of the writer and do not necessarily reflect those of NHA – News Hub Asia. 