Developing Asia remains on track toward steady growth in 2014 despite slower-than-expected growth in the US in the first quarter, the Asian Development Bank (ADB) said on July 18.
In its Asian Development Outlook Supplement, the ADB maintained its April forecast of 6.2 percent growth in 2014 and 6.4 percent in 2015 for the region’s 45 developing economies.
The Manila-based financial institution, however, said the outlook for Southeast Asia has softened as growth prospects falter in Indonesia, Thailand, and Vietnam.
In Indonesia, first quarter 2014 growth slowed to 5.2 percent as soft external demand, low commodity prices, and the temporary ban on select mineral exports undermined the recovery of net exports.
Thailand’s economy contracted by 0.6 percent in the first quarter as the political deadlock affected domestic demand and tourism.
Vietnam’s growth forecast has been slightly adjusted to account for the effect of tensions with China on economic activities including recent factory riots.
The 2014 forecast for the sub-region is downgraded by 0.3 percentage points to 4.7 percent. As the factors slowing growth in 2014 are expected to be temporary, the forecast growth of 5.4 percent in 2015 has been maintained.-VNA
In its Asian Development Outlook Supplement, the ADB maintained its April forecast of 6.2 percent growth in 2014 and 6.4 percent in 2015 for the region’s 45 developing economies.
The Manila-based financial institution, however, said the outlook for Southeast Asia has softened as growth prospects falter in Indonesia, Thailand, and Vietnam.
In Indonesia, first quarter 2014 growth slowed to 5.2 percent as soft external demand, low commodity prices, and the temporary ban on select mineral exports undermined the recovery of net exports.
Thailand’s economy contracted by 0.6 percent in the first quarter as the political deadlock affected domestic demand and tourism.
Vietnam’s growth forecast has been slightly adjusted to account for the effect of tensions with China on economic activities including recent factory riots.
The 2014 forecast for the sub-region is downgraded by 0.3 percentage points to 4.7 percent. As the factors slowing growth in 2014 are expected to be temporary, the forecast growth of 5.4 percent in 2015 has been maintained.-VNA
