The Temasek-Google report underscores just how important the market will become in the next decade, and increases pressure on both policy makers and airfreight companies to respond. Currently, the region is adding 3.8 million new internet users a month. The report raises a number of challenges to e-commerce over the next decade, and highlights inconsistent regional logistics as a major impediment. However, it also contends that, with between $40bn and $50bn in investment, Southeast Asia’s digital economy can make significant strides over the next decade and meet these projections. Most of the projected growth is the product of three important factors: about 70 percent of the population is under the age of 40, the region lacks big-box retail capacity and the middle class is growing rapidly.
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