Asia Economics Update Monetary policy in Pakistan becomes increasingly haphazard In an unexpected move, the State Bank of Pakistan (SBP) at the weekend cut its main policy rate by 50bp to 13.5%. The cut came despite continued strong inflationary pressures, and follows growing... 2nd August 2011 · 1 min read
Asia Economics Weekly What would a US default mean for Asia? Policymakers across the region are rightly concerned about the potential consequences of a debt crisis in the US. We believe that the impact on Emerging Asia’s economies of a one or two notch... 2nd August 2011 · 1 min read
Asia Economics Update New Zealand’s “insurance cut” to be reversed in September The Reserve Bank of New Zealand (RBNZ) has signalled that its policy rate will soon be raised from a post-earthquake emergency level, provided its worst fears for the global economy do not materialise... 29th July 2011 · 1 min read
Asia Economics Update One more rate rise this year in the Philippines The Philippines’ central bank (BSP) kept its overnight rate on hold at 4.5% today, however, it did still tighten monetary policy by raising the reserve requirement ratio. Although inflation is above... 29th July 2011 · 1 min read
Asia Economics Update Korea’s growth slows, but policymakers will focus on inflation Today’s Q2 GDP data from Korea confirm that the economy grew at a slower pace in the second quarter than it did in the first. Nonetheless, we believe that Korea’s policymakers will continue to focus... 28th July 2011 · 1 min read
Asia Economics Update Reserve Bank of India hikes and remains hawkish The Reserve Bank of India (RBI) surprised markets with a 50bp rate hike today, lifting the repo rate to 8.0%. With the accompanying policy statement reinforcing the RBI’s hawkish policy stance, we now... 27th July 2011 · 1 min read
Asia Economics Update High inflation in Singapore will not bring more MAS tightening The Monetary Authority of Singapore (MAS) revised up its 2011 inflation forecast last week while data out today show that inflation rose in June. Nonetheless, talk of runaway price pressures looks... 26th July 2011 · 1 min read
Asia Economics Weekly Interest rates to rise in the Philippines The Philippines’ central bank (BSP) will announce its latest policy decision on Thursday. As with elsewhere in the region, the BSP faces a dilemma as it looks to keep inflationary pressures under... 26th July 2011 · 1 min read
Asia Chart Pack Global risks may delay policy tightening Inflation remains a concern across most of the region. Central banks in Taiwan and Thailand have hiked their policy rates in recent weeks, while the central bank in Malaysia increased its reserve... 22nd July 2011 · 1 min read
Asia Economics Update How quickly will remittances to the Philippines grow this year? Growth in remittances from Overseas Filipino Workers (OFW) to the Philippines has slowed since the 2008-09 global crisis. However, we believe that remittances growth is likely to stabilise rather than... 20th July 2011 · 1 min read
Asia Economics Weekly Asia’s currency appreciation likely to slow Emerging Asia’s currencies have strengthened against the US dollar so far this year in large part because local policymakers have allowed appreciation to combat inflation. However, with inflation set... 19th July 2011 · 1 min read
Asia Economics Update More policy tightening required in India Today’s price data from India show that both headline and core inflation rose further in June. What’s more, we expect the headline rate to reach double-digit levels in the third quarter. While growth... 15th July 2011 · 1 min read
Asia Economics Update Singapore’s economic weakness will be short-lived Singapore’s advance estimate of GDP in the second quarter shows that the economy contracted due to weakness in the manufacturing sector. However, the expansion should resume in the second half of this... 15th July 2011 · 1 min read
Asia Economics Update Korea’s policy rate has further to rise The Bank of Korea (BoK) held its base rate at 3.25% today, as expected. Nonetheless, the policy rate is still below pre-crisis levels, while core inflation has further to climb. The upshot is that the... 15th July 2011 · 1 min read
Asia Economics Update Thailand’s central bank to focus on fiscal developments The Bank of Thailand (BoT) raised its repo rate by 25bp to 3.25% today, as expected. Fiscal policy is likely to be looser under the incoming government than the outgoing administration. The upshot is... 14th July 2011 · 1 min read
Asia Economics Update Bank Indonesia to resume rate hikes later this year Bank Indonesia (BI) kept its reference rate at 6.75% today, as expected. Declining headline inflation and greater uncertainty about the outlook for the global economy were the two main factors behind... 13th July 2011 · 1 min read
