China, India and Southeast Asia will be the engines of global economic growth, the report said. (File)
New Delhi:
Asia’s large emerging market economies will drive global economic growth in 2023, according to S&P Global Market Intelligence.
“Fast-growing consumer markets in mainland China, India and Southeast Asia will provide important growth engines for the global economy,” said the global financial market information and analytics service provider in a report.
China’s real GDP growth is projected to recover to 5.2% in 2023 from 3.0% in 2022 as domestic demand strengthens throughout 2023.
The Asia-Pacific region is projected to account for 58% of the total increase in global GDP over the decade 2021-2031. In 2023, the report said.
“The recovery in international tourism and rising property prices indicate that the recovery will continue in 2023. The non-oil economy accounts for 75% of the UAE economy.”
On the contrary, the report says that US growth will slow in 2023 as a result of significant monetary tightening by the US Federal Reserve in 2022 and early 2023. US real GDP growth is only 0.7% in 2023 from 2.1% in 2022.
The US Central Bank’s policy rate is now in its 15-year high of 4.50-4.75% target range, especially near zero in early 2022. Point rate hike at the Jan. 31-Feb. 1 meeting to curb inflation.
Raising interest rates is usually a monetary policy instrument that helps keep demand in the economy in check, thereby helping to keep inflation down.
As for US inflation, US consumer inflation eased to 6.4% in January from 6.5% in December and 7.1% the previous month, but remains well above the 2% target.
(Except for the headline, this article is unedited by NDTV staff and published from a syndicated feed.)
Featured video of the day
How to manage money amid rising prices?