Developing Asia will see its steady economic growth at 6.2 percent in 2014, compared to 6.1 percent recorded last year, according to a new Asian Development Bank (ADB) report.
ADB’s flagship annual economic publication, Asia Development Outlook 2014) released on April 1, forecast that the region will achieve a GDP growth of 6.4 percent in 2015.
Demand for Asia’s output is expected to grow as the recovery in the major industrial economies gains momentum, the report said, adding combined GDP growth in the US, the euro zone, and Japan is expected to pick up to 1.9 percent in 2014 from 1.0 percent in 2013 before strengthening further to 2.2 percent in 2015.
The improvement in demand will be offset somewhat by moderating growth in China due to impacts from tightened credit growth, pared industrial overcapacity, deepening local government debt, rising wages, currency appreciation, and the continuing shift in the government’s development priorities away from quantity toward quality.
These factors persist and the growth of the world’s second largest economy is forecast to slow from 7.7 percent last year to 7.5 percent in 2014 and 7.4 percent in 2015.
Across the subregions, East Asia will maintain its growth at 6.7 percent in 2014 and 2015 thanks to newly industrialised economies such as the Republic of Korea , and Hong Kong and Taipei of China.
Meanwhile, South Asia’s economic growth is forecast to improve from 4.8 percent last year to 5.3 percent in 2014 and 5.8 percent in 2015, with projected recovery in India to 5.5 percent and 6.0 percent respectively.
This year, Southeast Asia will maintain its growth at 5 percent, the same as that of 2013, due to political instabilities in Thailand and Cambodia . The outlook improves to 5.4 percent in 2015, with growth picking up in Indonesia after inflation ebbs, and Thailand ’s economy rebounding if political disruption recedes.-VNA
ADB’s flagship annual economic publication, Asia Development Outlook 2014) released on April 1, forecast that the region will achieve a GDP growth of 6.4 percent in 2015.
Demand for Asia’s output is expected to grow as the recovery in the major industrial economies gains momentum, the report said, adding combined GDP growth in the US, the euro zone, and Japan is expected to pick up to 1.9 percent in 2014 from 1.0 percent in 2013 before strengthening further to 2.2 percent in 2015.
The improvement in demand will be offset somewhat by moderating growth in China due to impacts from tightened credit growth, pared industrial overcapacity, deepening local government debt, rising wages, currency appreciation, and the continuing shift in the government’s development priorities away from quantity toward quality.
These factors persist and the growth of the world’s second largest economy is forecast to slow from 7.7 percent last year to 7.5 percent in 2014 and 7.4 percent in 2015.
Across the subregions, East Asia will maintain its growth at 6.7 percent in 2014 and 2015 thanks to newly industrialised economies such as the Republic of Korea , and Hong Kong and Taipei of China.
Meanwhile, South Asia’s economic growth is forecast to improve from 4.8 percent last year to 5.3 percent in 2014 and 5.8 percent in 2015, with projected recovery in India to 5.5 percent and 6.0 percent respectively.
This year, Southeast Asia will maintain its growth at 5 percent, the same as that of 2013, due to political instabilities in Thailand and Cambodia . The outlook improves to 5.4 percent in 2015, with growth picking up in Indonesia after inflation ebbs, and Thailand ’s economy rebounding if political disruption recedes.-VNA
