In the media | 24 Nov 2022

Alex Holmes: Parts of Asian economies have a way to go to recover

Alex Holmes

Alex Holmes

Senior Economist

Asia map

“Still, parts of Asian economies have a way to go to recover, particularly on the investment side, on the construction side. Labour flows within the region have only just started to get back to normal. So the sort of labour shortages that have been holding back construction and industry are now easing and there’s plenty of scope for that to ease more. But, there is an issue. Asia is facing lots of headwinds and those headwinds to growth are mounting and the recovery is entering a much more difficult phase.”

“The biggest one is the external environment. Now, Asia is a very exported-dependent region. And so if there is a shallow recession in the US, the Eurozone, and in the UK as we and many others expect early next year, that’s going to weigh on demand for the goods that are produced in Asia. But it’s not just this usual relationship between growth in the advanced world and exports from Asia. There are some added factors. That means that we think that exports are going to slow over and above that usual relationship.” Alex Holmes, Senior Economics at Oxford Economics, answered during the interview with Pamela Ambler from IC Markets.

Watch the full interview to learn more:

The interview is also available on Apple Podcasts and Spotify to listen.

To download our latest report on APAC’s 2023 outlook, please visit Unprecedented mix of challenges hurts APAC’s 2023 outlook


For media enquiries on Asia, please contact:
Yu Sato
[email protected]

You may be interested in

Post

China’s bounce-back from Covid has no clear driver

With Covid-related restrictions now removed, the Chinese economy is due for a bounce. In consensus thinking, much of that uptick is expected to come from private consumption.

Find Out More
Seoul, South Korea

Post

BoK’s monetary policy to tighten even as hiking cycle ends

Even without rate hikes, central banks' monetary policies can effectively tighten if the nominal neutral rate falls below the policy rate. We expect this will be the case for the Bank of Korea this year, as the gap between the policy rate and the nominal neutral rate widens.

Find Out More

Post

China: Emerging green shoots in Spring, but not out of the woods

We now incorporate a faster recovery from the post-Covid exit wave and raise our 2023 full-year GDP growth forecast to 4.5% (from 4.2% previously).

Find Out More