Asia Economics Update Supply shortages to persist Taiwan export orders dipped back again in August, suggesting that demand for Asian electronics goods may have peaked. However, with demand still running well ahead of supply, shortages are likely to... 24th September 2021 · 2 mins read
Asia Economics Update Taiwan central bank in little rush to tighten policy Taiwan’s central bank (CBC) today left interest rates unchanged at 1.125%, and we think policymakers will be in little rush to start tightening policy despite the strong economy. 23rd September 2021 · 3 mins read
Asia Economics Update Philippines: hikes a long way off The fact that the central bank in the Philippines (BSP) left its main policy rate on hold at 2.00% today, despite the very weak state of the economy, suggests further easing is unlikely. While we are... 23rd September 2021 · 3 mins read
Asia Economics Update External strains unlikely to ease as tourism slump drags on Countries across Emerging Asia are making renewed efforts to reopen their borders to boost flagging tourism sectors. However, ongoing travel restrictions and the spread of the more infectious Delta... 22nd September 2021 · 3 mins read
Asia Economics Update Bank Indonesia will be in no rush to tighten 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 on the back of a fall in... 21st September 2021 · 3 mins read
Asia Economics Update Pakistan: further rate hikes likely The State Bank of Pakistan (SBP) today raised interest rates by 25bp and made clear further tightening is likely as the central bank shifts its focus away from supporting the recovery and towards... 20th September 2021 · 2 mins read
Asia Economics Update Can Sri Lanka avoid default? Falling foreign exchange reserves, a declining currency and a high level of foreign currency debt mean the risk of a sovereign default in Sri Lanka is growing. While the country should be able to... 16th September 2021 · 5 mins read
Asia Economics Update Malaysia: rates on hold until 2023 Malaysia’s central bank (BNM) left interest rates unchanged at 1.75%, and won’t be in any rush to adjust rates soon. Although the economy should start to rebound now that virus restrictions are being... 9th September 2021 · 3 mins read
Asia Economics Update Singapore struggling to live with COVID Singapore’s decision to reimpose some restrictions despite the country’s rapid vaccine rollout raises questions about its long-term strategy of living with COVID-19. The government’s caution will hold... 8th September 2021 · 3 mins read
Asia Economics Update Bank of Korea to continue tightening into 2022 We were among the first forecasters to call that the Bank of Korea (BoK) would begin tightening monetary policy this year and it duly delivered today, raising the policy rate by 25bps to 0.75%. Given... 26th August 2021 · 4 mins read
Asia Economics Update Shortages to remain a drag on global manufacturing There are growing signs that global demand for Asian consumer goods has peaked. Despite this, supply shortages look set to persist for some time amid growing evidence that surging virus cases across... 20th August 2021 · 2 mins read
Asia Economics Update Malaysia: major challenges await new PM Malaysia’s new prime minister, Ismail Sabri Yaakob, takes over an economy poised to rebound strongly from the COVID-19 pandemic. But the new government looks ill-equipped to deal with the many long... 20th August 2021 · 4 mins read
Asia Economics Update Sri Lanka: more hikes to come The Central Bank of Sri Lanka (CBSL) hiked interest rates today to help support the currency. With the rupee likely to remain under downward pressure over the coming months, further rate hikes are... 19th August 2021 · 3 mins read
Asia Economics Update Indonesia: rates set for prolonged hold Bank Indonesia left its main policy rate on hold at 3.50% today, and signalled that rates are likely to remain low for the foreseeable future. We think the policy rate will remain unchanged until at... 19th August 2021 · 3 mins read
Asia Economics Update Philippines central bank to cut rates in September The Philippines’ central bank (BSP) left its main policy rate on hold at 2.00% today, but with inflation fears receding, more rate cuts to support the beleaguered economy are likely soon. 12th August 2021 · 3 mins read
Asia Economics Update Baht to weaken further as external deficit widens The worsening prospects for the Thai economy and the shift in the current account from a huge surplus to a sizeable deficit mean the Thai baht is likely to weaken further over the coming year. 6th August 2021 · 3 mins read
