Asia Economics Update Singapore is finished with policy loosening The Monetary Authority of Singapore (MAS) today decided to make no changes to its policy stance, despite the current bout of deflation and downbeat GDP growth in the first quarter. Concerns about the... 14th April 2015 · 1 min read
Asia Economics Update Rising financial risks to deter aggressive rate cuts in Korea The Bank of Korea (BoK) held its policy rate at 1.75% today, following a rate cut last month. The slow pace of recovery has raised speculation of further monetary policy loosening, but we think... 9th April 2015 · 1 min read
Asia Economics Update Currencies and equity markets drop back Most equity markets and currencies in Emerging Asia fell last month, although in the majority of cases the declines were relatively small. 1st April 2015 · 1 min read
Asia Economics Update Is a weak rupiah a threat to Indonesia? Policymakers in Indonesia should welcome, rather than fear, a weaker rupiah. Not only is foreign currency debt relatively low, but there is little sign that a fall in the currency is pushing up... 31st March 2015 · 1 min read
Asia Economics Update Currency strength one reason Asian rates will stay low, for now Currency strength in Emerging Asia has been a factor in the region's recent wave of policy loosening. It appears to be undermining export competitiveness and has helped push inflation down further... 25th March 2015 · 1 min read
Asia Economics Update Asia does not need to follow the Fed's lead The first rate hike in the US looks to be only a matter of months away. But local factors, not the actions of the US Federal Reserve, will determine the next moves by Asia's central banks. 19th March 2015 · 1 min read
Asia Economics Update Indonesia leaves rates on hold, but further loosening likely soon Having surprised markets last month with a rate cut, Bank Indonesia (BI) left its key policy rate on hold today at 7.50%. Although we expect to see further rate cuts this year, the pace of easing is... 17th March 2015 · 1 min read
Asia Economics Update Credit growth needs to slow further We have been warning for some time that parts of Asia are experiencing an unsustainable credit binge, and that credit growth will need to slow for a crisis to be avoided. Encouragingly, credit growth... 12th March 2015 · 1 min read
Asia Economics Update Korea's rate cut likely marks end of cutting cycle The Bank of Korea (BoK) reduced its policy rate by 25 basis points to 1.75% today, adding to a growing list of central banks that have cut rates this year. But Korea's high household debt levels... 12th March 2015 · 1 min read
Asia Economics Update Thailand's rate cut likely to be a one-off The Bank of Thailand (BoT) joined the global shift toward monetary loosening today, cutting its policy rate by 25bp to 1.75%. Looking ahead, we think the BoT will keep rates on hold in the coming... 11th March 2015 · 1 min read
Asia Economics Update Malaysia unlikely to join the rate-cutting club Despite a recent drop in inflation, the Malaysian central bank (BNM) kept its policy rate on hold at 3.25% today. While several central banks in the region have eased monetary policy this year, we... 5th March 2015 · 1 min read
Asia Economics Update Asian equity markets continue good run Equity markets in Emerging Asia recorded another month of solid gains in February. Currencies did not fare as well, particularly the Indonesian rupiah, which has continued to weaken against the US... 27th February 2015 · 1 min read
Asia Economics Update Tight labour market in Taiwan providing boost to consumption A tight labour market in Taiwan is feeding through to stronger wage growth, which in turn is providing a boost to household consumption. The improving prospects for the consumer sector are a key... 26th February 2015 · 1 min read
Asia Economics Update Aggressive rate cuts unlikely in Indonesia With inflation set to stay elevated until the end of the year and the current account deficit likely to remain a source of vulnerability, today’s rate cut by Bank Indonesia is unlikely to signal the... 17th February 2015 · 1 min read
Asia Economics Update Household debt concerns to keep Korean rates on hold The Bank of Korea (BoK) today left its policy rate on hold at 2.0% after the government softened its pressure for further loosening. Looking ahead, we think persistent concerns about high household... 17th February 2015 · 1 min read
Asia Economics Update Philippines unlikely to join Asian rate cutting cycle Despite the recent drop in inflation, the central bank in the Philippines is unlikely to join a number of other central banks in the region that have loosened monetary policy since the start of the... 12th February 2015 · 1 min read
