Asia Economics Update India and Vietnam: Asia’s disappointing duo Growth has weakened significantly in both Vietnam and India over the past 12 months. In the next couple of years, neither economy looks like recapturing the impressive growth rates that were recorded... 18th April 2012 · 1 min read
Asia Economics Update Reserve Bank of India cuts repo rate, prioritising growth The Reserve Bank of India cut its key policy rate by 50bp today in response to slower growth and a fall in underlying inflation. We suspect it will deliver a further 50bp of rate cuts by year-end as... 17th April 2012 · 1 min read
Asia Economics Weekly Challenges for South Korea While the world’s eyes were fixed on the North Korean rocket launch, last week’s election in the South brought into focus some of the challenges its policymakers face, in addition to dealing with... 16th April 2012 · 1 min read
Asia Economics Update Singapore’s central bank likely to reverse course in October The Monetary Authority of Singapore (MAS) unexpectedly tightened its policy stance today. The move was partly in response to Q1 GDP figures, also released today, which showed that the economy returned... 13th April 2012 · 1 min read
Asia Economics Update Bank Indonesia set to keep rates at record low Having cut rates by a cumulative 100bp since October, Bank Indonesia (BI) left its main policy rate on hold at a record low level for the second consecutive month today, as widely expected. Although... 12th April 2012 · 1 min read
Asia Economics Update Vietnam cuts rates again, more policy loosening likely The State Bank of Vietnam (SBV) today announced that it would be cutting interest rates by a further 100bp on Wednesday. The cut in interest rates, the second in as many months, comes amid recent... 10th April 2012 · 1 min read
Asia Economics Update Asia’s costly fuel subsidies to remain in place The recent increase in oil prices is putting the budgets of countries that operate fuel subsidy regimes under strain. Nevertheless, any meaningful reform of subsidy programmes across Asia looks... 9th April 2012 · 1 min read
Asia Economics Weekly Burma - Asian tiger or basket case? After decades as an international pariah, Burma is catching the eye of investors. Recent market-friendly reforms, an abundance of natural resources, and proximity to China and India are some of the... 9th April 2012 · 1 min read
Asia Economics Update Policy paralysis to continue in India Events over the past year have taken the shine off India’s economy as the growth rate has slowed, reform efforts have been blocked and slow and opaque decision-making has undermined investor... 4th April 2012 · 1 min read
Asia Economics Focus How would a hard landing in China affect Australia? In the event of a hard landing in China, Australia would suffer a sharp fall in exports to its biggest trading partner. Global commodity prices would tumble given China’s importance for commodity... 3rd April 2012 · 1 min read
Asia Economics Update March PMIs point to continued manufacturing recovery March PMIs for Asia suggested that a pick-up in trade is giving a boost to the region’s manufacturers. However, problems in the euro zone mean that the improvement could be short-lived. 3rd April 2012 · 1 min read
Asia Economics Weekly Indonesia - losing its shine? Indonesia’s stock market and currency have been among the worst performing assets in Asia so far this year. The poor performance reflects worries over proposed cuts to fuel subsidies, which will... 2nd April 2012 · 1 min read
China Economics Update Is China's move up the value chain a threat to Asian economies? As China develops, its manufacturing firms are moving into higher-value sectors. While this is a boon for low-wage Asian economies that represent a good alternative for low-end producers... 29th March 2012 · 1 min read
Asia Economics Update Who in Asia will benefit from rising labour costs in China? After years of strong growth, China’s textile and apparel exports are now losing market share abroad. Indeed, high and rising labour costs in China mean the migration of low-end manufacturing out of... 28th March 2012 · 1 min read
Asia Economics Update A tough year ahead for Vietnam after Q1 growth slows sharply GDP in Vietnam grew by just 4.0% y/y in the first quarter of 2012 – the weakest rate of expansion since the first quarter of 2009. The economy faces a difficult year in 2012 due to a combination of... 26th March 2012 · 1 min read
Asia Economics Focus Are Australian banks vulnerable to a global financial crisis? Australia stands out as one of the economies in Asia that might be most vulnerable to a renewed global banking crisis. Its high external debt and current account deficit make it reliant on foreign... 26th March 2012 · 1 min read
