Asian region The World Bank warned on Tuesday that it could lose further momentum if conditions worsen due to the war in Ukraine, after it downgraded them. growth Climate forecast for East Asia and the Pacific for 2022 to reflect the economic impact of Russia invasion of its southern neighbour.
supply interruption of goods financial strains and higher Prices are among the monuments of the war in Ukraine that will slow down economies in Asia in The World Bank said that the coming months in a report.
The report predicts slower growth And the rising poverty in Asia Pacific Region region this is year As a “multiple shocks” vehicle trouble for people And the for Business.
The Washington-based bank said it expects 2022 growth in Developing East Asia and the Pacific (EAP) regionwhich includes China, to expand 5%, below its 5.4% forecast. in October.
But growth It could slow to 4% if conditions worsen and government policy She indicated that the responses were weaker.
The region saw a rebound to 7.2% growth in 2021 after many economies suffered recession with the beginning of epidemic.
The World Bank predicts that China is the largest region economywill expand at 5% annually pace down from a previous estimate of 5.4%, much slower than 8.1% growth of 2021, indicating the government’s ability to provide stimulus to counteract adverse shocks.
Russia invasion of Ukraine helped drive up the prices for Oil, gas and other commodities that eat family purchase power burdening companies and governments already compete with Unusually high levels of debt The report said it was due to the epidemic.
The development The lender urged governments to lift restrictions on trade and services to use of more chances for trade Ending fossil fuel subsidies to encourage adoption of more green energy technologies.
war weighs on Pushing force
“The region face triad of Shocks that threaten to undermine growth World Bank Chief Economist Aditya Mattu, World Bank President for East Asia and the Pacific, said.
The war between Russia and Ukraine, which Matto described as “the most dangerous risk”to me region’s growth The look, is leading For food and fuel price Increases, financial volatility and reduced trust everything over The world.
“Succession of The shocks mean that the growing economic pain of The people You will have to face deflation financial eligibility of Matto said.
“Mix of finance, financial And the trade Reforms can mitigate risks and revive them growth And the reduce poverty.”
Matto said to Russia invasion of Ukraine was more Alarming considering that region He was still competing with Archaeology of COVID-19 pandemic, a structural slowdown in China and faster inflation could lead to a faster tightening of US monetary funds.
war effect on economies in The East Asia and Pacific region varies depending on on Matto said their exposure and flexibility. Except for China, the output in the rest of The region It is expected to expand by 4.8% this year.
“Just like economies of East Asia and the Pacific was recovering from the shock of the epidemic, the war in Ukraine weighs on growth Momentum,” Vice President of the World Bank for East Asia and the Pacific said Manuela Ferro in a permit.
‘The region’s fundamentals are considerably strong and sound Policy should help He. She weather these storms. “
3 main potential shocks
The report pointed out three main potential shocks for The region: the changing cash war policy in The United States and some other countries countriesslow down in China.
While rising Interest rates are reasonable for US cooling economy Curb inflation, a lot of Asia is backward behind in it’s a recovery from the epidemic.
Countries like Malaysia may suffer from outflows of currency and others financial She said the repercussions of those changing policies.
Meanwhile, China already slowing down economy You can get stuck with an outbreak of COVID-19 triggered closures like The one Currently in place in Shanghai, the largest city in the country. This will likely affect many Asians countries whose trade Relies on demand from China.
These existing shocks are likely to amplify post- The difficulties of COVID,” the report said. 8 million families fell. back To poverty during the pandemic, “We will see real Income shrinks more as prices go up.”
The report indicated that regional economies performed better during the variable delta waves of 2021 of from corona virus in first months of epidemic in 2020, largely due to fewer restrictions imposed and the spread of vaccinations that helped reduce the risk of Outbreaks.
in the middle, countries with 1 percentage point higher vaccination rate King higher growthHe Said.
Asian region The World Bank warned on Tuesday that it could lose further momentum if conditions worsen due to the war in Ukraine, after it downgraded them. growth Climate forecast for East Asia and the Pacific for 2022 to reflect the economic impact of Russia invasion of its southern neighbour.
supply interruption of goods financial strains and higher Prices are among the monuments of the war in Ukraine that will slow down economies in Asia in The World Bank said that the coming months in a report.
The report predicts slower growth And the rising poverty in Asia Pacific Region region this is year As a “multiple shocks” vehicle trouble for people And the for Business.
The Washington-based bank said it expects 2022 growth in Developing East Asia and the Pacific (EAP) regionwhich includes China, to expand 5%, below its 5.4% forecast. in October.
But growth It could slow to 4% if conditions worsen and government policy She indicated that the responses were weaker.
The region saw a rebound to 7.2% growth in 2021 after many economies suffered recession with the beginning of epidemic.
The World Bank predicts that China is the largest region economywill expand at 5% annually pace down from a previous estimate of 5.4%, much slower than 8.1% growth of 2021, indicating the government’s ability to provide stimulus to counteract adverse shocks.
Russia invasion of Ukraine helped drive up the prices for Oil, gas and other commodities that eat family purchase power burdening companies and governments already compete with Unusually high levels of debt The report said it was due to the epidemic.
The development The lender urged governments to lift restrictions on trade and services to use of more chances for trade Ending fossil fuel subsidies to encourage adoption of more green energy technologies.
war weighs on Pushing force
“The region face triad of Shocks that threaten to undermine growth World Bank Chief Economist Aditya Mattu, World Bank President for East Asia and the Pacific, said.
The war between Russia and Ukraine, which Matto described as “the most dangerous risk”to me region’s growth The look, is leading For food and fuel price Increases, financial volatility and reduced trust everything over The world.
“Succession of The shocks mean that the growing economic pain of The people You will have to face deflation financial eligibility of Matto said.
“Mix of finance, financial And the trade Reforms can mitigate risks and revive them growth And the reduce poverty.”
Matto said to Russia invasion of Ukraine was more Alarming considering that region He was still competing with Archaeology of COVID-19 pandemic, a structural slowdown in China and faster inflation could lead to a faster tightening of US monetary funds.
war effect on economies in The East Asia and Pacific region varies depending on on Matto said their exposure and flexibility. Except for China, the output in the rest of The region It is expected to expand by 4.8% this year.
“Just like economies of East Asia and the Pacific was recovering from the shock of the epidemic, the war in Ukraine weighs on growth Momentum,” Vice President of the World Bank for East Asia and the Pacific said Manuela Ferro in a permit.
‘The region’s fundamentals are considerably strong and sound Policy should help He. She weather these storms. “
3 main potential shocks
The report pointed out three main potential shocks for The region: the changing cash war policy in The United States and some other countries countriesslow down in China.
While rising Interest rates are reasonable for US cooling economy Curb inflation, a lot of Asia is backward behind in it’s a recovery from the epidemic.
Countries like Malaysia may suffer from outflows of currency and others financial She said the repercussions of those changing policies.
Meanwhile, China already slowing down economy You can get stuck with an outbreak of COVID-19 triggered closures like The one Currently in place in Shanghai, the largest city in the country. This will likely affect many Asians countries whose trade Relies on demand from China.
These existing shocks are likely to amplify post- The difficulties of COVID,” the report said. 8 million families fell. back To poverty during the pandemic, “We will see real Income shrinks more as prices go up.”
The report indicated that regional economies performed better during the variable delta waves of 2021 of from corona virus in first months of epidemic in 2020, largely due to fewer restrictions imposed and the spread of vaccinations that helped reduce the risk of Outbreaks.
in the middle, countries with 1 percentage point higher vaccination rate King higher growthHe Said.