Rise in exports boost developing Asia’s growth outlook, ADB
STRONGER-THAN-EXPECTED export demand has improved growth prospects for Asia’s developing economies, including China, the Asian Development Bank said Thursday.
The Manila, Philippines-based ADB upgraded its growth forecast for this year to 5.9pc from an earlier forecast of 5.7pc.
It expects developing Asia to grow at a 5.8pc pace in 2018, up from its earlier forecast of 5.7pc.
China’s economy, the world’s second biggest, is forecast to grow at a 6.7 pc pace in 2017 and a 6.4pc pace in 2018, the report said.
The outlook is more optimistic than the bank’s last forecast, made in April, for 6.5pc and 6.2pc growth in 2017 and 2018.
“Developing Asia is off to a good start this year with improved exports pushing growth prospects for the rest of 2017,” said ADB’S chief economist Yasuyuki Sawada. “Despite lingering uncertainties surrounding the strength of the global recovery, we feel that the region’s economies are wellplaced to face potential shocks to the outlook.”
South Asia will remain the fastest growing sub-region, with regional expansions projected at 7pc in 2017 and 7.2pc next year, the report said.
Southeast Asia’s growth is expected to remain at 4.8pc in 2017 and 5 percent in 2018, with slower expansion in oil-dependent Brunei slightly offsetting faster growth in Malaysia, the Philippines and Singapore.
The Philippines is expected to grow at 6.5pc this year and 6.7 pc next year, up from earlier forecasts for 6.4 pc growth in 2017 and 6.6pc in 2018.
– AP CHINA is clamping down on use of virtual private networks, or VPNS, in a move that foreign companies worry might disrupt their operations or jeopardize trade secrets.
In a letter to corporate customers seen by The Associated Press, the biggest Chinese internet service provider says virtual private networks will be permitted only to connect to a company’s headquarters abroad.
Such systems create encrypted links between computers and can be used to see websites blocked by Beijing’s web filters.
The letter from state-owned China Telecom Ltd. says VPN users are barred from linking to other sites outside China. That might hamper access to news, social media or business services.
The measure reflects President Xi Jinping’s vision of “internet sovereignty,” or Beijing’s right to control what its people do online. – AP