On December 13, the Asian Development Bank (ADB) unveiled its December edition of the Asian Development Outlook (ADO) report. The report has adjusted the economic growth projection for 2023 for developing economies in Asia and the Pacific to 4.9 percent for this year, up from the September estimate of 4.7 percent. The growth forecast for 2024 remains steady at 4.8 percent. The inflation forecast for this year has been revised down from the previous 3.6 percent to 3.5 percent. Next year, inflation is anticipated to rise to 3.6 percent, compared to the previous forecast of 3.5 percent.
Specifically, the forecast for China's economic growth has been adjusted to 5.2 percent for this year, compared to the previous estimate of 4.9 percent. The growth prospects for India have been raised from 6.3 percent to 6.7 percent.
As for Southeast Asia, ADB reports a reduction in growth for this year from 4.6 percent to 4.3 percent, attributed to a decline in demand for exported goods.
According to the mentioned report, the projected growth for Vietnam this year has been revised downward to 5.2 percent, down from the earlier forecast of 5.8 percent, while the anticipated growth for 2024 is expected to be sustained at 6 percent. The slower-than-expected recovery in external demand continues to hinder the growth of both the industrial and service sectors, thereby decelerating the recovery process for domestic employment and consumption. The inflation forecast remains at 3.8 percent for 2023 and 4 percent for 2024.
