Economy

The local economy appears set to sustain its recent upward momentum, as investor confidence returns and some core sectors rebound. However, there are still concerns that weak performance of key trading partners and tight liquidity could hold back expansion.

Stepping up efforts to attract foreign investment to its shores, Sharjah is reaching out to the global market to spur growth at home, though the emirate is facing stiff competition in an increasingly tight global market.

Although Ghana has an unusually high loans-to-deposits ratio and household lending rates in excess of 20%, the banking sector has been enjoying strong growth of late, on the back of the country’s macroeconomic success. Due in part to a mix of both rising capital inflows and a large unbanked population, the potential for long-term profitability, both in corporate and in retail, continues to attract international attention and investment.

Growth in the Philippines is expected to continue at a steady clip over the next two years, spurred by proactive government and central bank measures to improve governance and boost macroeconomic performance. There is concern, however, that slowdowns in Europe, the US and China could dampen full-year growth figures.

Having recorded higher-than-expected growth in the second quarter of 2012, India should see a welcome fillip for an economy struggling to replicate the stellar performance of recent years.

Whilst the economy is surging on the back of higher-than-forecast oil prices that are swelling the state coffers, concerns remain over the state’s long-term prospects.