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The Asian Development Bank based in Manila, Philippines, said in a report updated Wednesday that it expects Asia's economic expansion to remain robust at 6 percent this year, but to fall to 5.8 percent in 2019. .
The world's second-largest economy, China, is expected to grow 6.3 percent next year, up from 6.6 percent this year.
The lender cited impending financial and commercial shocks as the main sources of potential problems on the continent.
If the US continued to raise interest rates, including a rise on Wednesday to raise the benchmark rate to 2-2.25 percent, currency markets and capital flows in Asia could be disrupted. serious problems with toxic loans.
High housing prices were considered a significant risk for China, Hong Kong, Malaysia and South Korea.
Supply chains in jeopardy
But the ADB report makes it clear that the biggest threat comes from potential damage to supply chains caused by trade disputes, particularly between the United States and China.
US President Donald Trump made progress on Monday with higher tariffs on Chinese imports of $ 200 billion (170 billion euros).
The trade dispute between the United States and China could reduce China's growth by 0.5 percentage points, according to the report.
But AfDB officials also pointed out that booming Asia is quickly becoming such a large market that expanding trade in the region could help offset lost exports to the United States.
"Interregional trade in Asia accounts for nearly 50% of total trade, and this appears to increase over time," said AfDB Chief Economist, Yasuyuki Sawada, at the AFP news agency.
"Asia was a global factory and all of us viewed Asian economies as suppliers, but if we look, more than half of the world's middle class lives in Asia."
hg / dd (AFP, dpa)
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