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Economics & Trade

IMF ups developing Asia growth forecast

Led by China and India, Asia's developing economies are growing faster than anticipated this year and the trend will likely continue into 2007, the Wall Street Journal reported. The positive outlook comes despite concerns about the potential impact of a slowdown in demand from the US and Europe. The International Monetary Fund said in its World Economic Outlook that global imbalances resulting from Asia's growing influence and some national policies – including China's currency controls- are likely to be highlighted during the Group of Seven meeting this weekend and at subsequent annual gatherings of the IMF and the World Bank. The Washington-based IMF raised its growth forecast for emerging Asia – which does not include Japan, Australia and New Zealand – to 8.3% for 2006 and 8.2% in 2007, up from 7.9% and 7.6%.

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