In the media | 24 Oct 2022

Priyanka Kishore: Time for Asian central banks to pay heed to growth risks

Priyanka Kishore

Head of India and South East Asia Macro Services

Aerial view of Singapore business district and city at twilight

“A significantly more hawkish Fed arguably gives Asian central banks more reason to stay on the course of rapid policy tightening. But a closer look at the banks’ actions and policy statements reveals that the motivation for frontloaded rate moves remains primarily domestic. While the central banks acknowledge an increasingly challenging external environment, keeping inflationary expectations anchored is still their main concern.” Priyanka Kishore, Oxford Economics’ Head of India and Southeast Asia Macro Services, wrote in her op-ed to Nikkei.

“This is something that the region’s central banks should not lose sight of. With a recession all but confirmed in the U.S. and Europe, and COVID lockdowns leading to further gross domestic product downgrades for China, the outlook for Asia’s exports and growth is worsening by the day. “”Looking into 2023, the appropriate policy direction will be an extended rate pause to assess the slowed impact of monetary policy transmission.” She concluded.

Check the full article below:


To download our latest report on Asia central banks, please check APAC central banks look to anchor expectations rather than follow Fed – Oxford Economics.


For media enquiries on Asia, please contact:
Sally Li
[email protected]

You may be interested in

Post

The challenge for Bank Indonesia

Bank Indonesia raised its policy rate by 50 bps at its last meeting on November 17, making for a total of 175bps of rate hikes over the last 6 months.

Find Out More
Asia map

Post

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

Alex Holmes, Senior Economics at Oxford Economics, discusses on parts of Asian economies have a way to go to recover.

Find Out More

Post

Look for an L-shaped property recovery with a long tail in China

Policies aimed at managing China's housing slump have led investors to query the shape and depth of a market correction. We think a meltdown is unlikely and that China's housing market will instead undergo a protracted L-shaped downturn.

Find Out More