Asia Economics Update South East Asia rebounding, but disruption set to linger Disruption to industrial activity across South East Asia has eased considerably in the past few weeks, helping to relax global supply constraints, especially in the automotive sector. However, a... 1st December 2021 · 2 mins read
Asia Economics Update Bank of Korea to hike at least three more times in 2022 Today’s move by the Bank of Korea is likely to mark the second hike of at least five, in a tightening cycle that began in August and will extend well into next year. 25th November 2021 · 3 mins read
Asia Economics Update Export orders dip, but shortages will persist Taiwan export orders dropped back in October, but the big picture is that they are down only slightly over the past few months and remain at an elevated level. Looking ahead, we expect demand to... 22nd November 2021 · 2 mins read
Asia Economics Update Pakistan: further rate hikes coming Pakistan’s central bank (SBP) today raised interest rates by an aggressive 150bp and with inflation set to remain above target and the currency likely to come under further downward pressure, further... 19th November 2021 · 3 mins read
Asia Economics Update Bank Indonesia is in no rush to tighten Bank Indonesia (BI) left interest rates unchanged at 3.5% today and appeared to signal that policy rates would remain unchanged for some time yet. A large output gap and weak inflation mean the... 18th November 2021 · 3 mins read
Asia Economics Update Philippines: rates will stay low to support recovery The central bank in the Philippines (BSP) left its main policy rate on hold at 2.00% today to support the economic recovery, and with GDP still well below its pre-pandemic level, rates are set to... 18th November 2021 · 3 mins read
Asia Economics Update Bank of Thailand in no rush to tighten The Bank of Thailand (BoT) left interest rates on hold today at 0.5%, and the poor outlook for the economy means rates are likely to remain low for some considerable time. 10th November 2021 · 2 mins read
Asia Economics Update Malaysia: rates on hold throughout 2022 Bank Negara Malaysia (BNM) left its main policy rate unchanged at 1.75% today, and with inflation set to remain subdued, rates are likely to stay on hold at their current all-time low throughout next... 3rd November 2021 · 3 mins read
Asia Economics Update Will Asian exporters continue to defy gravity? Asian exports have continued to grow rapidly despite the recent disruption stemming from lockdowns in South East Asia. A huge backlog of orders and low inventory levels in advanced economies mean that... 2nd November 2021 · 3 mins read
Asia Economics Update Strength of export orders signals shortages will persist Taiwan export orders rose in September, indicating that demand for Asian electronics remains strong. We expect final demand to weaken over the coming months, but shortages are likely to persist for... 20th October 2021 · 2 mins read
Asia Economics Update Bank Indonesia will be in no rush to tighten next year Bank Indonesia today left its policy rate unchanged at 3.5% and signalled that it is likely to leave rates on hold for a prolonged period of time. With the economy rebounding but inflation set to stay... 19th October 2021 · 3 mins read
Asia Economics Update Singapore: no further monetary policy changes in 2022 The Monetary Authority of Singapore (MAS) tightened policy today, as it looked past the lacklustre rebound in GDP last quarter and looked to curb further rises in inflation. Core inflation is unlikely... 14th October 2021 · 3 mins read
Asia Economics Update Bank of Korea on hold, but extended hiking cycle ahead After leaving rates on hold today, the Bank of Korea gave strong signals of its intent to hike again in November. And given the Bank’s hawkish comments, we are adding another rate hike into our... 12th October 2021 · 3 mins read
Asia Economics Update Bank of Korea still on for another hike in 2021 Korean consumer prices saw another strong m/m rise last month, and while we don’t think this is a major cause for concern it still adds weight to our view that the central bank will hike rates again... 6th October 2021 · 3 mins read
Asia Economics Update Vietnam: Is the worst over? With cases of COVID-19 in Vietnam falling sharply and the government easing restrictions, factories are starting to reopen, and the latest data suggest the worst is now over for the country’s... 5th October 2021 · 2 mins read
Asia Economics Update Thailand: rates to stay low for an extended period The Bank of Thailand (BoT) left interest rates on hold today at 0.5%, and we have taken out the rate cut we originally had pencilled in for this year. However, rate hikes are still a long way off. 29th September 2021 · 2 mins read
