AGP Executive Report

SME Supply-Chain Watch (China): ASPI says Beijing’s “Little Giants” tracker will map 19,000 high-tech SMEs picked for critical-tech leadership—many already embedded in global supply chains, with some linked to military work or forced labour risks. Cross-Border Payments for SMEs (Singapore/SEA): Convera and JustLogin will embed multi-currency cross-border payroll and payments into JustLogin’s HR platform, supporting hiring across 16 currencies. SME Credit & Policy (China): China’s central bank kept key lending rates unchanged for the 16th straight month, signaling tighter room for broad easing as credit demand shifts. Cybersecurity for Businesses: Kaspersky reports a torrent-based malware campaign disguised as popular films, targeting users and organisations across multiple countries. Data Center Cost Pressure (US, SME angle): A bipartisan “Ratepayer Protection Act” passed the US House, pushing large data centers to cover new energy infrastructure costs so families and small businesses aren’t stuck with the bill. SME Growth & Skills (Asia Pacific): JA Asia Pacific and partners call for better AI work readiness across the region, warning the skills gap could widen inequality for youth. Tourism as SME lifeline (Malaysia/Sabah): Sabah is using culture, music and business partnerships to sustain a China flight route and drive repeat travel that benefits local SMEs.

SME Trade Support: ITC and DHL renewed their push for cross-border SME growth, with a spotlight on women-led businesses and better access to exports, supply chains and logistics. Foreign Traders vs Local Retail: Nigeria’s CPPE warned that foreign suppliers—especially Chinese traders—are moving downstream into retail, urging tighter reviews of permits, expatriate quotas and business authorisations to protect domestic micro, small and medium enterprises. Central Bank Watch: Nigeria’s MPC meets Sept 21-22 with the policy rate at 26.5%, as inflation cools but petrol prices and exchange-rate pressures complicate any rate cut. Digital Payments for SMEs: India’s UPI MDR rules are set to charge merchants for P2M transactions above Rs 2,000 from Oct 15, while smaller transactions stay free—raising questions on who pays to keep the system secure at scale. Fintech Investment: Singapore’s 01F Group invested in Indonesia’s DANA, betting on digital payments growth that reaches MSMEs beyond big cities. Tourism for Small Businesses: Sabah is using a China exchange programme to turn flight connectivity into repeat travel that supports local tourism, culture and SME opportunities. Manufacturing Push: China opened the 2026 World Manufacturing Convention in Anhui, aiming to link global smart manufacturing and SME overseas expansion. SME IPOs in India: Several BSE SME listings and debuts are scheduled, including Manika Plastech (flat at issue price) and other SME IPOs opening/subscribing this week.

Food Safety Crackdown: India’s FSSAI and state regulators are intensifying raids across the food value chain after finding tens of thousands of non-conforming samples in 2025-26, with Maharashtra (especially Mumbai) and Karnataka in the spotlight. SME Capital Markets Push (India): BSE and Meesho’s Project Shikhar brings SME IPO know-how to Delhi-NCR sellers, covering listing eligibility, governance, compliance and disclosures. SME IPO Watch (India): Liqvd Digital India’s ₹39-crore SME IPO opens Sept 23 with a ₹51-54 price band; proceeds target expansion, a video content hub and working capital. Trade Support for Women SMEs: ITC and DHL deepen collaboration to help women-led SMEs access cross-border trade via logistics, market support and SheTrades hubs. Retail Policy Tension (Nigeria): CPPE flags rising Chinese traders in Nigeria’s retail/distributive sector and urges tighter review of permits and quotas, arguing foreign participation should focus more on manufacturing and infrastructure. UPI Costs Debate (India): New MDR/UPI charges are sparking fresh pushback from traders and calls for rollback, as merchants worry about who will bear the added costs. Growth Outlook (India): Jefferies says India is on track for 6.5-7% real GDP growth this fiscal, with SME lending picking up and corporate earnings seen accelerating next year.

SME Trade & Growth: KOTRA is rolling out a “First Step to Export Week” plus online seminars, then three weeks of one-on-one video consultations and logistics support, prioritising first-time exporters, small firms, social enterprises, and women/young-led businesses. Women Founders & Finance: WE Meet Davao gathered women entrepreneurs, funders and ecosystem partners, with pitches exploring working capital financing via SheSecure. Digital Payments Pressure: In Bangladesh, experts say digital finance is expanding, but small and micro businesses still struggle to access credit due to collateral gaps, high costs, weak records and tax fears. Street-Level Business Reality: India’s street food vendors face a squeeze as pavement crackdowns push sellers off footpaths, forcing some to operate in precarious, “illegal” conditions. AI in Everyday Work: A report finds AI is moving into ordinary Indian life—from shopkeepers and small business owners to students—used less for hype and more to get tasks done. Manufacturing Upgrade: ZPMC inaugurated a smart workshop in Nantong, showcasing digital and automated, lower-carbon production for port machinery components. Climate & Disruption Risk: Nepal’s flash-flood toll may reach 10,000 deaths, with traders and small businessmen among those affected. Pacific Resilience: Fiji secured a US$210m ADB package to bolster fiscal resilience, expand access to finance and improve disaster preparedness.

Pacific Resilience Funding: Fiji secured a US$210m ADB package (US$200m policy loan + US$10m disaster financing) to cushion higher fuel/food costs and strengthen disaster readiness, with growth forecasts trimmed to 2.6% for 2026. Urban Flood Preparedness: A CGTN report from Nairobi shows crews clearing blocked drainage and installing new pipes to boost stormwater capacity as El Niño fears rise. SME Compliance Made Easier (India): Ahmedabad’s MSMExpert.com targets the paperwork bottleneck for growing Indian MSMEs—certifications, audits, and export requirements—by bundling compliance and trade support. UPI Merchant Fee Debate (India): RBI Deputy Gov. S C Murmu says the new 0.4% MDR on UPI payments above ₹2,000 from Oct 15 won’t push people back to cash, while opposition leaders call it an “UPI tax” that could hit small traders. Clean Air for Small Vehicles (India): Mahindra Last Mile Mobility named an Earthshot Prize 2026 finalist in “Clean Our Air,” highlighting electric three-wheelers and small commercial vehicles for last-mile work. H-1B Scrutiny (US-India): A Trump executive order tightens H-1B checks for employers linked to layoffs, raising concerns for Indian IT firms and students.

UPI MDR Backlash in India: Opposition leaders including CJP and Congress slammed the proposed 0.4% Merchant Discount Rate on UPI payments above ₹2,000 as “outright robbery,” demanding a rollback and warning it will hit small traders. UPI Rules Clarified: India’s Finance Ministry says P2P UPI stays free, payments up to ₹2,000 remain free for consumers and small merchants, and the MDR is capped (₹300) and paid by merchants—not customers. SME Capital Markets: smartData Enterprises (India) got in-principle approval from NSE Emerge for an SME IPO, aiming to raise funds for product/platform development, digital infrastructure, and new development centres. Cross-Border Payments Push: Kazakhstan is expanding interoperable QR payments across borders, with India flagged as a potential partner country. Tourism Shock for SMEs: Thailand’s hospitality sector reels as Chinese tourist arrivals plunge, forcing agents to cut 2026 targets. Auto Policy for MSMEs (Pakistan): Pakistan’s government says a new auto policy is coming, with SMEDA backing MSMEs at the Pakistan International Auto Show.

MSME Push in Pakistan Auto Show: SMEDA is backing the 21st Pakistan Auto Parts Show (Sept 18–20, Lahore) to spotlight MSMEs and link local makers with buyers and partners, including foreign delegates. ASEAN MSME Summit: The Philippines will host an ASEAN MSME Summit on Sept 21 to expand small-business access to capital, markets, mentorship and digital tools through public-private partnerships. UPI Fees Shake-Up for Merchants: India’s new UPI MDR framework from Oct 15 sets a 0.4% charge on merchant payments above ₹2,000 (capped at ₹300), while keeping person-to-person transfers free—sparking debate over who pays and how small traders cope. AI Safety Debate Hits Business: AI leaders are urging the industry to “pace the frontier,” raising fresh questions for firms using AI tools about safety, governance, and responsible rollout. Pacific Tourism via Yachting: A new Pacific yachting strategy (2026–2030) targets higher-value, lower-impact visitors and aims to funnel spending to remote island businesses. Data Center Politics Spill Over: US state and local pushback on data centers continues, with candidates and communities weighing power costs, health impacts and land pressure. SME IPO Watch (India): smartData Enterprises (India) gets in-principle approval from NSE Emerge for an SME IPO, aiming to fund product development, digital upgrades and development centres.

UPI MDR Push in India: India’s Finance Ministry says the 0.4% Merchant Discount Rate on UPI payments above ₹2,000 from Oct 15 won’t spur a cash comeback, with only ~4% of transaction volume affected and monitoring planned to stop merchants passing costs to customers. Regulator Crackdown on SMEs: SEBI barred Kore Digital and top executives from fundraising and trading after alleged Rs 541 crore revenue misstatement, with a forensic audit ordered. SME Tech for Micro-merchants (Vietnam): KiotViet’s Knote won an AI award for helping traditional sellers and micro-entrepreneurs manage sales and operations with localized AI. Trade Finance for Small Firms (Georgia): ADB named Basisbank “Leading Partner Bank in Georgia” for trade and supply chain finance activity, highlighting cross-border access for local businesses. Circular Business in India: Startups are turning temple floral waste into incense sticks and biomaterials, showing how small enterprises can build greener, value-added supply chains. Tourism Beyond Seoul (South Korea): A government-backed plan will fund multilingual, visitor-friendly upgrades in six commercial districts to boost local businesses and startups through K-culture tourism. SME IPO Watch: India’s SME market sees fresh listings and mixed grey-market demand, while an Axiom Gas Engineering IPO opens for subscription today.

UPI MDR Shake-up in India: India’s new Merchant Discount Rate for UPI (0.4% on payments above ₹2,000, with exemptions and sector rules) is sparking fresh backlash from traders and a Supreme Court PIL challenging the levy, with the Finance Ministry pushing back on “foreign influence” claims. SME Cybersecurity Gap: A Tata Tele Business Services/CyberMedia Research study finds 84% of Indian SMEs plan to raise cybersecurity spend, but only 12% continuously monitor systems and 45% cite lack of expertise—investment intent is outpacing readiness. Regulator Crackdown on SME Listing: SEBI barred telecom infrastructure firm Kore Digital and its top executives from fundraising and trading, alleging revenue inflation via non-genuine subsidiaries and manipulated statements, and blocked migration from NSE’s SME board. Cross-border Trade Boost for Women: Philippines women entrepreneurs are expanding exports, with about 30% of Women Strong Network members already selling internationally, supported by training, matching and financing. Tourism Hit for Japan SMEs: Chinese mainland arrivals to Japan fell 59% in August amid deteriorating ties, a blow to tourism-linked small businesses. China-ASEAN Expo Opens: The 23rd China-ASEAN Expo in Guangxi kicked off with thousands of firms, including many SMEs, pitching deals under CAFTA 3.0 and AI-enabled trade.

UPI MDR Backlash in India: Congress MPs and traders’ groups are pushing back on NPCI’s plan to charge 0.4% MDR on person-to-merchant UPI payments above ₹2,000 from Oct 15, arguing it could raise costs and even push people back to cash. Supreme Court Challenge: A PIL is set to test the MDR move, while the Finance Ministry says the decision was independent and not driven by “foreign influence.” SME Capital Markets Push: ISSPL filed a DRHP for an SME IPO to expand testing and inspection labs, and ARCIL’s SME listing is set after a strong grey-market premium. Fintech Leadership for Micro-Enterprises: Aye Finance appointed Nishit Shrivastava as CTO to scale tech-led lending for India’s micro enterprises. SME Credit Guarantee Watch: Korea’s Small Business Guarantee Fund saw default rates top 4% for the first time since 2015. Trade & Export Linkages: KOTRA expanded Central Asia cooperation via export matchmaking with 16 contracts worth about $14m signed on-site. Data Center Power Cost Fight (US): The US House passed the Ratepayer Protection Act to stop households and small businesses subsidizing data center power upgrades.

UPI MDR Shock in India: India’s NPCI will start charging a 0.4% Merchant Discount Rate on select UPI person-to-merchant payments above ₹2,000 from Oct 15, capped at ₹300, while keeping person-to-person transfers and payments up to ₹2,000 free; small merchants under the zero-MDR rules are largely protected, but retailers warn it could push some back to cash. Legal Pushback: A public interest petition has been filed in India’s Supreme Court challenging the MDR framework, arguing it lacks safeguards and transparency. SME Green Transition in ASEAN: A Manila forum backed by ESCAP and Temasek Foundation is coaching SMEs to meet sustainability demands from larger buyers, focusing on greener supply chains and practical support. MSME Credit Boost (India): UGRO Capital raised ₹380 crore from FMO to close India’s MSME credit gap, targeting women, youth and rural businesses plus eligible green projects. Kenya Insurer Eyes SMEs: SanlamAllianz General Insurance (Kenya) reported 21% profit-before-tax growth in 2025, citing integration benefits and a renewed push into the SME segment. UK Cash-Flow Strain: Research says 89% of UK firms faced payment delays, with longer terms hitting micro and small businesses hardest.

UPI MDR Shake-Up (India): India’s Finance Ministry and NPCI clarified that from 15 Oct 2026 a 0.4% Merchant Discount Rate will apply only to select merchant UPI payments above ₹2,000 (with a ₹300 cap), while P2P transfers stay free and most small merchant payments remain zero-charged—sparking debate in Parliament as the BJP defends the move and the NCP(SP) warns merchants may try to pass costs to customers. SME Support Push (Hong Kong): Hong Kong’s 2026 Policy Address outlines expanded SME and digital support, including more financing and trade tools, plus stronger cybersecurity and logistics modernisation. Fisheries Value-Chain Investment (India): India marks six years of PMMSY (launched 2020), with Rs 20,750 crore planned and Rs 2,500 crore allocated in Budget 2026-27, aiming to modernise fisheries beyond production into cold chains, transport, marketing and post-harvest systems. SME Digital Complexity (Asia Pacific): Mastercard’s Dreamonomics report says Asia-Pacific SMEs juggle multiple tools and payment methods, creating reconciliation and cash-flow headaches—while many want more integrated solutions. SME Growth via Policy & Skills (BRICS/China): China’s proposed BRICS digital cooperation initiative focuses on a shared digital ecosystem plus skills training and business matchmaking to bridge digital divides. SME IPO Watch (India): Robokidz Eduventures is set to launch a ₹31.09 crore BSE SME IPO on 21 Sep. Trade & Compliance (India Customs): CBIC’s chief urged faster AI use to move customs toward a near-paperless, trusted taxpayer system and better handholding for MSMEs.

UPI Payments Shake-Up (India): NPCI says a 0.4% MDR will start from Oct 15 on select person-to-merchant UPI deals above ₹2,000, capped at ₹300 per transaction (and a flat ₹5 for certain thin-margin categories like railways, telecom, insurance, fuel). SME Impact: P2P transfers stay 100% free, and most low-value merchant payments (up to ₹2,000) plus small merchants under the P2PM model keep zero MDR—aiming to protect street vendors and neighbourhood shops. Digital Tools for Small Biz (India): Jio and Canva partner to give eligible Jio users 12 months of Canva Pro/Pro Lite via MyJio, targeting students, creators and entrepreneurs. Fintech for SMEs (Saudi): Money20/20 Middle East opens in Riyadh with major fintech announcements, including Tabby’s $6.5bn valuation and SME-focused funding and partnerships. Local Support for Entrepreneurs (US/Asia-Pacific readers): Pittsburgh’s Hispanic chamber launches $420,000 in small business grants plus entrepreneur training and roundtables, with Duquesne SBDC support. AI Policy Pressure (US): Sen. Maria Cantwell pushes for federal guardrails and independent safety testing for frontier AI after reports of autonomous cyberattacks.

SME IPO Watch (India): Three SME listings open today—Vama Wovenfab, Shakti Polytarp and Quanto Agroworld—with bids closing Sept 17; Vama Wovenfab is drawing the most grey-market attention. AI for Small Business Visibility (India): WEB5 NEXGEN’s MyZia offers a free scan of how SMBs show up in AI assistants and auto-publishes optimized content to chase AI citations. Fintech AI Monetisation (India): Emkay says AI-led revenue for Indian fintech is likely to start only from FY28, even as firms roll out AI products now. UPI Fees Rule (India): India’s finance ministry bars charges on RuPay debit cards and UPI payments up to ₹2,000—setting up a possible future MDR debate for higher-value UPI. SME Cash-Flow Relief (China): China pushes large firms to pay SME suppliers in cash within 60 days, tightening oversight and financing support. Climate Insurance for MSMEs (Fiji): Fiji launches its first climate risk parametric insurance for MSMEs, using pre-set triggers for faster payouts after shocks. Hydrogen Deal (South Africa–Japan): The two countries move from a 2023 hydrogen/ammonia MoU toward concrete projects, including production, storage and skills. Robotics Expo (Saudi Arabia): YIJIAHE will showcase commercial cleaning and power-facility robots at SFMA EXPO 2026, targeting smarter facility operations. Workspace for Startups (Hong Kong): Industrious opens Indy by Industrious in Sheung Wan, adding flexible offices for SMEs and startups.

SME Finance & Trade: Pakistan’s Ahsan Iqbal pushed a digital-economy agenda during a China visit, proposing an SCO “Digital Connectivity and Compute Corridor” to boost cross-border fibre, data centres and AI, while stressing privacy, cybersecurity and sovereignty. SME Payments: Zoth launched zPayments on Base, enabling fast stablecoin-native cross-border payouts in local currency across 171 countries, targeting corridors in the Middle East and Southeast Asia. SME Digital Economy: Zoho named finalists for a rural-focused AI hackathon, aiming to build affordable tools for farmers and rural businesses facing water, irrigation and crop-stress challenges. SME Compliance & E-commerce: New e-commerce rules are flagged as a potential compliance burden for small sellers, adding pressure as online competition intensifies. Health Policy for Small Operators: CAPHRA unveiled an Asia-Pacific Declaration urging health ministers to legalise safer nicotine alternatives for adult smokers, spotlighting oral tobacco products as a major cancer driver. Business Disputes: Yatra’s board rejected Magna’s extended unsolicited tender offer as undervaluing the company. Corporate Updates: Asia Pacific Wire & Cable reported AGM approvals and H1 2026 revenue up 17.6% to US$267.5m, with EBITDA margin improving to 4.56%.

BRICS MSME push: At the New Delhi BRICS Summit, leaders backed stronger access to affordable finance for micro, small and medium enterprises, including a credit assessment framework using diverse data and a study of an invoice discounting mechanism to unlock working capital for export-ready MSMEs. Startup support: PM Modi also highlighted a BRICS Incubator Network and proposed a BRICS Startup Innovation Fund to connect entrepreneurs and incubators across member countries. Business climate reforms (Bangladesh): The government outlined plans to streamline investment services, fully digitalise approvals via BanglaBiz and BIDA’s one-stop platform, and boost export growth through priority sectors. SME banking upgrades (Japan): Japanese megabanks rolled out new services aimed at small and midsize firms, including online account opening and subsidy-linked guidance. Cyber risk for SMEs (Singapore): A logistics firm reported phishing attacks and responded with 24/7 threat monitoring and cyber insurance as coverage demand rises. E-commerce pressure (India): Small traders in Kashmir say e-commerce is squeezing MSMEs and shrinking margins. Solar sales bottleneck (India): Google’s Solar API is helping rooftop-solar installers generate remote 3D roof models and faster proposals, cutting early-stage legwork. Fraud prevention win (Asia-Pacific): SEON won a CybersecAsia readers’ choice award for identity and fraud management. IPO spotlight (India): Quanto Agroworld’s lemongrass-focused IPO opens Sept 15 on BSE SME.