UN Forecasts Modest Pick-Up In Growth For Malaysia, Several ASEAN's Economies This Year

BANGKOK, Jan 28 (Bernama) -- The United Nations (UN) has forecast modest pick-up in growth this year for the economies of Malaysia and several other Association of South-East Asian Nations (ASEAN) members. The world body made this assessment in its Economic Situation and Prospects 2016 which was released Wednesday. "In Indonesia, Malaysia, the Philippines, Singapore and Thailand, a modest pick-up in growth is forecast for 2016 on the back of increased infrastructure spending, a mild recovery in exports and robust household demand," it said. The UN also projected East and South Asia will remain as the world's most dynamic and fastest-growing regions in 2016/2017 despite the recent economic slowdown. "East Asia is forecast to see solid gross domestic product growth of 5.6 per cent in both 2016 and 2017 -- about the same growth rate as in 2015, but slightly below the average of 6.3 per cent recorded in 2012-2014," it said. The report said China's economic growth was expected to further ease from an estimated 6.8 per cent last year to 6.4 per cent in 2016 as the economy adopted a structural transformation towards a more balanced and sustainable growth path. Nevertheless, it said, further moderation in China's growth was expected to be offset by a pick-up in the activities in some other large economies such as Hong Kong Special Administrative Region of China, Indonesia, Taiwan and Thailand. The UN's report said the economies of Myanmar and Vietnam were "bright spots" in the region where growth-supporting factors such as new investment and strong consumer spending were projected to remain in place. Meanwhile, it said, growth in South Asia was expected to strengthen, led by India which was expected to grow by 7.3 per cent this year from 7.2 per cent 2015 and registering a growth of 7.5 per cent in 2017. --BERNAMA