ASEAN ECONOMIES GREW STRONGLY IN Q2

KUALA LUMPUR, Aug 29 (Bernama) -- The Asean six economies -- Malaysia,
Indonesia, Philippines, Singapore, Thailand and Vietnam -- all registered strong
growth in the second quarter, after having contracted sharply earlier, according
to Moody's Economy.com.

Malaysia, Thailand, Vietnam and the Philippines expanded sharply, while
Indonesia kept chugging along at a strong pace, said Nikhilesh Bhattacharyya, an
associate economist at Moody's Economy.com in a report Friday.

Singapore meanwhile emerged from its worst recession on record.

It said fiscal stimulus spending, stabilised in household spending, industry
strong performance and improving financial conditions were among major factors
for the growth.

However, export remained weak in the second quarter, though the pace of
year-on-year contraction did moderate, aided by rising demand from China.

"Overall, exports were a major drag on the Asean economies year-on-year
growth in the second quarter," Nikhilesh said.

According to the report, confidence across the region improved due to
falling consumer prices and improving financial conditions.

Improvement in consumer confidence in other Asean economies has been far
more muted, but there has been a detectable rise in sentiment of late.

It said industrial activities also saw strong revival although the global
crisis hurt investors appetite.

With demand beginning to firm up in the second quarter and orders rising,
producers felt confident enough to push up production to match demand and
replenish inventory.

With all the leading indicators, it said there will be further economic
strengthening in the third quarter.
-- BERNAMA