ASEAN likely unaffected by global economic woes

BANGKOK, January 19 (TNA) - A UN report says although a slowdown in China and a recession in Europe have weighed on economic activities in East Asia, the 10-member Association of Southeast Asian Nations (ASEAN) is unlikely to be seriously affected. The United Nations Economic and Social Commission for Asia and the Pacific (UN-ESCAP) report on the World Economic Situation and Prospect of 2013 (WESP), released this week, forecast that average economic growth in East Asia should pick up mildly to 6.2 per cent in 2013 and 6.5 per cent in 2014, from about 5.8 per cent in 2012. According to the UN-ESCAP report, the figures show that economic woes in Europe, Japan, the United States and China, where a slowdown appears to be sharper-than-expected, have weighed on economic growth in East Asia, with a drop in current account surplus of countries in the region due to an export slump, despite growing household consumption at a robust pace, boosted by the resilient labour market and low inflation rates in the region. For ASEAN, the UN-ESCAP report indicated although there are expected downturn in several economies in 2013, the overall ASEAN economy should see solid growth momentum, particularly in Indonesia, Malaysia, the Philippines and Thailand, where expanding domestic consumption and investment should offset slower exports. (TNA)