Singapore today become the latest country in Asia to announce strict new social distancing rules to slow the spread of the coronavirus. We estimate that the economy will be running at around 30% below capacity for at least the next month. In response, we now expect the economy to contract by 5% this year, down from -3.5% previously.
Singapore is of course not the only place to have tightened restrictions recently, and with the outlook for global demand also worsening, we are cutting our forecasts for other countries as well. Our assessment is that Thailand and Hong Kong will be the worst-affected countries this year. Only Vietnam and India will grow at all.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to gain:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services