Southeast Asia in January 2026: the most important developments in economy
In January 2026, economic news from Southeast Asia included a dispute over artificial intelligence. Indonesia temporarily blocked access to Elon Musk's Grok chatbot on 10 January over deepfake pornography risks. By mid-month, reports from Indonesia and Malaysia described anger and humiliation among victims of misuse of the tool, and raised questions about whether banning such technology is effective.
The Philippines announced the discovery of a large new gas deposit, Malampaya East 1, near the disputed South China Sea, on 18 and 19 January, and on 22 January President Ferdinand Marcos Jr. ordered tightened security for the field. Manila also signed a Comprehensive Economic Partnership Agreement with the United Arab Emirates on 13 January, Marcos met Dubai executives in the digital infrastructure sector, and Emirates announced four more weekly Dubai-Manila flights from 2 April. The Philippine central bank's pause in rate cuts was seen extending through 2026 because of inflation risks.
Markets and monetary policy varied across the region. Bursa Malaysia broke above 1,700 points on 13 January, and later in the month the ringgit opened near a five-year high against the US dollar after Bank Negara held its key rate steady. Bank Indonesia was expected to hold its rate again while the rupiah remained weak. Bursa Malaysia halted short selling in SMRT shares after the price plunged, and Singapore's GIC was fined $82,100 by a South Korean regulator over a short-selling violation.
Company and trade news included Airbus nearing a deal to sell around 100 A220 jets to AirAsia, UOB's plan to build a new headquarters in Ho Chi Minh City, and FGV's clearance to resume palm oil exports to the United States. Jakarta meat sellers went on strike after beef import quotas were cut, HSBC began a review of its Singapore insurance business, and BYD led Singapore car sales as electric vehicles reached 45 percent of new registrations. In Vietnam, leader To Lam set a 10 percent growth target.
by WorldBrief & Maksim Micheliov | AI-generated summary
Click a day in the chart above for that day's brief.