Inclusive business

Inclusive businesses (IBs) are defined as providers of goods, services and livelihoods on a commercially viable basis, either at scale or scalable, to people at the base of the economic pyramid (BOP), making them part of the value chain of a business as suppliers, distributors, retailers or customers. Awareness of the potential of IBs to contribute to poverty reduction and inclusive and sustainable economic growth is increasing in the region. Governments have an important role to play in scaling up IB through the development and implementation of enabling environments for the development of inclusive business models. Recent policy reforms in Asia show the strong political will to spur inclusive growth and improving the lives of the poor and low-income population. In 2017, the leaders of ASEAN acknowledged the strong support for inclusive business by its member States and called for greater emphasis on creating an enabling environment for inclusive business in ASEAN, among others through conducive rules and regulations. Evidence that inclusive business policies work emerged from the Philippines. In 2018, the first full year of implementation of the policy, five projects were approved which target to source $5 million worth of goods and services from the BOP and directly hire at least 185 and engage over 1,000 individuals, at least 30 per cent of which are women, from the marginalized sectors.


Creating and Enabling Policy Environment for Inclusive Business: The ASEAN Experience.