Experts are upbeat about Asia’s economic prospects. - (Photo: kinhtedothi.vn)Hanoi (VNS/VNA) - Asia hasstrong fundamentals for long-term growth despite trade tensions, dollarstrengthening and demographic challenges casting a shadow on the outlook forstrong global growth.
Speakers at a session discussing Asiaeconomic outlook at the World Economic Forum on Asia which is taking place in Hanoion September 11-13 said they were optimistic about the region’s future.
According to Judy Hsu, regional chiefexecutive officer, ASEAN and South Asia, Standard Chartered Bank, this regionhad strong fundamentals such as dynamic workforce and high internetpenetration.
“As a bank, we are confident in thisregion,” she said, adding short-term volatility was managed much better.
“There are opportunities for companies toshift on supply chain and manufacturing capacity,” she added. “I remainpositive in the medium and long terms.”
Kevin Sneader, global managing partner,McKinsey & Company, agreed, adding that the region still had strong fundamentalsin its favours.
However, there are challenges, he said, ashe believes the ASEAN infrastructure was underinvested, he said. In addition,the education system needed to be improved.
Veerathai Santiprabhob, Governor, Bank ofThailand believes policy-makers should have a long-term view.
“Try to look through the growth circle inanticipation of the situations like what is happening now,” he said. “There area lot of exciting opportunities but the risks are also rising.”
He stressed the coordination of monetaryand fiscal policies were of significant importance, adding that central banksshould work together and it was essential to enhance financial connectivity.
According to Veerathai, in the era of thefourth industrial revolution, three key words that public policies should focuson were productivity, inclusiveness and resilience to benefit from technologyadvances.
Sri Mulyani Indrawati, Minister of Finance,Indonesia, said the right policies would help cope with challenges.
Nazir Razak, chairman of CIMB GroupHoldings Berhad, believes the US, China trade tension was a worry and policymakers should seek ways to continue maintaining growth momentum.
He stressed that Asian countries shouldalso enhance cooperation for growth.
Speakers also said governments andbusinesses should keep a look on stronger dollars.-VNS/VNA
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