[ad_1]
ANKARA
The Asian Development Bank (ADB) forecast on Thursday that economic activity in Asian developing countries would contract 0.4%, an improvement from the 0.7% contraction in September.
In a report, the bank said that economic activity in developing Asia, a group of 46 nations in the Asia-Pacific region, is forecast to rebound to 6.8% growth in 2021 as the region progresses. towards recovering from the effects of the new coronavirus pandemic. .
“Asia’s development prospects are improving. Growth projections have been updated for the People’s Republic of China [PRC] and India, the two largest economies in the region, “said ADB chief economist Yasuyuki Sawada.
“A protracted pandemic remains the primary risk, but recent developments on the vaccine front are mitigating it. Safe, effective, and timely delivery of vaccines in developing economies will be critical to supporting economies reopening and recovery. of growth in the region, “he added. Sawada added.
Pandemic-induced lockdowns and restrictions have eased to varying degrees in the region, and merchandise exports have recovered rapidly from substantial drops in the second quarter.
“Mobility is also returning to pre-COVID-19 levels in East Asia and the Pacific, where the spread of COVID-19 has been largely contained or prevented in recent months. However, the recovery of the COVID-19 is likely. tourism is delayed. ” the report said.
“Most developing Asia sub-regions are expected to contract this year. East Asia is the exception, with an improved growth forecast of 1.6% for 2020 due to faster-than-expected recoveries in the People’s Republic of China. and Taiwan. East Asia’s growth prospects for 2021 are maintained at 7.0%, “according to the report.
The ADB forecast that South Asia’s GDP could contract by 6.1% in 2020, revised up from the 6.8% contraction expected in September.
“Growth in South Asia is forecast to recover to 7.2% in 2021. The growth forecast for India, the subregion’s largest economy, for fiscal year (FY) 2020 rises to -8.0% from projection of -9.0% in September, while the outlook for FY2021 remains at 8.0%, “said the bank.
Economic growth in Southeast Asia remains under pressure as COVID-19 containment measures continue, particularly in Indonesia, Malaysia and the Philippines.
While the Central Asia growth forecast for 2020 remains at -2.1% in the report, the outlook for 2021 was downgraded slightly to 3.8% from 3.9% in September.
The ADB estimated that regional inflation is expected to decline marginally to 2.8% in 2020, from 2.9% projected in September, due to depressed demand and low oil prices.
“Inflation for 2021 is forecast at 1.9%, down from the 2.3% forecast in September. Oil prices remain at $ 42.50 per barrel in 2020 before increasing to $ 50.00 per barrel in 2021,” the report adds.
The Anadolu Agency website contains only a portion of the news that is offered to subscribers in the AA News Transmission System (HAS), and in summary form. Contact us for subscription options.
[ad_2]
