Asia to power world economy: ADB

Haruhiko Kuroda said in an interview with The Associated Press on Wednesday the bank expects Asian economies — excluding Japan, Australia and New Zealand — to grow by around 7 percent this year, down from about 7.5 percent in 2011 and 9 percent in 2010.

His slightly less rosy forecast was in sharp contrast to the gloomy International Monetary Fund announcement Tuesday that it was cutting its forecast for global economic growth this year to 3.3 percent from 4 percent because of a slowdown in the world economy and the likelihood of a mild recession in Europe.

Kuroda said regional and domestic demand in Asia are still “fairly robust” though external demand is lower “so GDP growth as a whole is also slowing.”

He said Asia has already been affected by the ongoing European financial crisis in two ways — through the withdrawal of credit in Asia by many European banks and financial institutions and a drop in trade, which will impact China because Europe is its largest export market.

1|2|Next Page>>

SharePrintEmail

Write a Comment

Terms

Enter your comments - 3000 characters max

Type in image code

Submit

 Receive China Post promos
 Respond to this email