Growth in developing Asia will likely be slower this year than previously thought, the Asian Development Bank said taking into consideration the war in Ukraine which it says will likely derail an economic recovery in the region projecting the Asian block economy (including China and India) to grow at 5.2 per cent this year.
“The Russian invasion of Ukraine has severely disrupted the outlook for developing Asia which is still contending with COVID-19,” the ADB says, adding that other factors could also cloud the region’s growth outlook, including ongoing increases in commodity prices, heightened financial stability risks that may stem from aggressive interest rate hikes in the United States, and the emergence of deadlier COVID-19 variants.
China’s economy will probably grow 5.0 per cent this year, the agency said, slower than its December projection, and much weaker than its 8.1 per cent expansion in 2021 and except for South Asia, all sub-regions were expected to post slower-than-expected growth this year. @LatestMalaysia
