Asia Economy

Momentum in Mongolia’s mineral sector helped GDP growth surge in 2011, however, extra fiscal vigilance is needed this election year as overheating could lead to high inflation, exchange rate volatility and wage pressures. According to World Bank estimates in late January, growth reached 14.9% in 2011 and will be 15.1% in 2013.

Thailand’s government is confident the country’s economy is well on the way to recovery, following the devastating floods in late 2011, to return to the high levels of growth witnessed before the disaster. Recovery efforts will take time, however, as further investments in infrastructure and social support are still required.

While many markets struggled with debt and fall-out from the world economic crisis in 2011, Indonesia bucked global trends by recording its fastest rate of growth in 15 years. Buoyed by strong domestic demand and huge resource wealth, Indonesia’s economy grew 6.46% last year, making it a magnet for investors who have also been attracted by its macroeconomic stability.

Recent weeks have seen the Sultanate take some important steps in boosting trade ties with both regional friends and more distant allies. This recent flurry of international links will be good for Brunei Darussalam’s trade position, and may also stand the Sultanate in good stead as it prepares to chair the Association of South-east Asian Nations (ASEAN) in 2013.

January’s revelation that the Philippines’ economy grew 3.7% in 2011 came as the government and central bank announced new measures to further boost growth. Indeed, President Benigno Aquino’s administration plans to spend its way through current economic challenges, refocusing on domestic − rather than foreign − markets.

The Bank Negara Malaysia (BNM), the country’s central bank, has put in place a series of new measures aimed at boosting the competitiveness of the national economy and in particular its financial sector. It is hoped this set of reforms will help ease the impact of the European debt crisis and the threat of a further bout of uncertainty in global markets.