Asia Economics Update What do high oil prices mean for Asia? The recent jump in oil prices does not alter the outlook for Asia’s economies. But if prices were to rise significantly further, we would be most concerned about the impact on India and Sri Lanka. 29th January 2018 · 1 min read
Asia Economics Update Malaysia: more rate hikes unlikely Malaysia’s central bank (BNM) raised its key policy rate by 25bps to 3.25% today, but with growth set to slow, inflation benign and the currency continuing to strengthen, we suspect this will be a... 25th January 2018 · 1 min read
Asia Economics Update Revised TPP deal still good news for Asian members The agreement to press ahead with the revised Trans-Pacific Partnership is important in a number of ways. Not only should it provide a decent boost to growth prospects across parts of Asia, but it... 24th January 2018 · 1 min read
Asia Economics Update What do US tariffs mean for Asia? US tariffs on imports of solar cells and washing machines are likely to cause some short-term disruption in parts of the region, most notably Malaysia, Korea and Vietnam. However, the overall impact... 23rd January 2018 · 1 min read
Asia Economics Update Further rate cuts in Indonesia likely by mid-year Today’s decision by Bank Indonesia (BI) to leave interest rates unchanged at 4.25% came as no surprise. Although the central bank’s accompanying statement suggests that further easing is not imminent... 18th January 2018 · 1 min read
Asia Economics Update Bank of Korea on hold, tightening will be gradual The Bank of Korea (BoK) kept its policy rate on hold at 1.50% today, and the governor’s accompanying press conference signalled aggressive tightening is not in the pipeline. With the economy set to... 18th January 2018 · 1 min read
Asia Economics Update Will minimum wage hikes hurt Korea’s economy? The South Korean government hopes that steep hikes to the minimum wage will provide a boost to private consumption and help to reduce inequality, but there is a risk that the policy may do more harm... 11th January 2018 · 1 min read
Asia Economics Update Will Vietnam’s export sector continue to outperform? Exports from Vietnam should continue to grow strongly in the short term, helped by booming foreign direct investment into the manufacturing sector. However, the lack of spillovers from the dynamic... 9th January 2018 · 1 min read
Asia Economics Update A stellar 2017, repeat in 2018 unlikely Asian assets, especially equities, have had a strong year in 2017. However, a repeat performance in 2018 looks unlikely. 21st December 2017 · 1 min read
Asia Economics Update Thai rates to stay on hold through 2018 With growth robust and inflationary pressures subdued, the Bank of Thailand (BoT) unsurprisingly kept its policy rate on hold today at 1.50%. The accompanying monetary policy statement reaffirms our... 20th December 2017 · 1 min read
Asia Economics Update No rate hikes next year in the Philippines The Philippines central bank (BSP) left rates unchanged at 3.0% today while also downplaying fears that the economy is overheating. While both financial markets and the consensus are expecting... 14th December 2017 · 1 min read
Asia Economics Update Will corporate tax hikes dent Korea’s competitiveness? The programme of tax hikes and spending increases passed today by South Korea’s parliament is unlikely to have much impact on the country’s growth prospects. The budget is forecast to be fiscally... 6th December 2017 · 1 min read
Asia Economics Update Korea’s policy tightening will proceed gradually The Bank of Korea (BoK) raised its policy rate for the first time since 2011 today. Looking ahead, the tone of the governor’s accompanying press conference suggests aggressive monetary policy... 30th November 2017 · 1 min read
Asia Economics Update Asian currencies make further gains against the dollar Strong growth figures, a shift in interest rate expectations and general dollar weakness have propelled Asian currencies higher against the US dollar so far this month. 29th November 2017 · 1 min read
Asia Economics Update Bank of Korea set to hike rates despite worries over won Concern over the recent strength of the won is unlikely to stop the Bank of Korea (BoK) from hiking interest rates at its meeting on Thursday, but it is likely to prompt the authorities into resuming... 27th November 2017 · 1 min read
Asia Economics Update Further easing in Indonesia likely to be very gradual Today’s decision by Bank Indonesia to leave interest rates unchanged at 4.25% does not mean the easing cycle is over. However, with worries growing about the strength of the rupiah, we think any... 16th November 2017 · 1 min read
