IMF "Asia Growth Forecast 4.6% This Year... Led by China and India"

The International Monetary Fund (IMF) has projected Asia's economic growth rate for this year at 4.6%, forecasting that China and India will lead the region's economic expansion.

On the 2nd (local time), the IMF released its Asia-Pacific Regional Economic Outlook report, presenting a growth forecast of 4.6% for the Asia region this year. This figure is a 0.3 percentage point upward revision from the previous estimate of 4.3% announced last October.

However, the IMF's growth forecast for the Asia region next year is 4.4%, which is 0.2 percentage points lower than the previous estimate of 4.6% presented in October last year.

Containers at Qingdao Trade Port, Shandong Province, China
Photo by Yonhap News

The IMF expects the Asia-Pacific region to show the most dynamic economic growth among major regions. It also added that China and India will be the leading countries driving economic growth. This is because economic activities in China have resumed after COVID-19, and India continues to maintain one of the highest economic growth rates in Asia.

The IMF projected China's growth rate for this year at 5.2%, which is 0.8 percentage points higher than the estimate made in October. India's growth rate is expected to be around 5.9%, 0.2 percentage points lower than the October estimate.

The IMF's forecast for South Korea's economic growth this year is 1.5%, which is 0.5 percentage points lower than the projection made in October last year. The IMF urged central banks in Asia, excluding China and Japan, to maintain monetary tightening, warning that "the cost of failing to reduce inflation below target will outweigh any benefits from accommodative policies."

This content was produced with the assistance of AI translation services.