Deloitte Asia Pacific Economic Outlook – June 2012
The June 2012 edition of the Asia Pacific Economic Outlook gives a near-term outlook for China, Indonesia, Japan, Philippines and Vietnam.
China: Recent data that suggests that China’s period of deceleration isn’t over. Thus, concerns are creeping in as to whether or not the Chinese government will be able to use policy instruments to avoid a harder-than-expected landing.
Indonesia: Indonesia continues to enjoy strong macroeconomic fundamentals, but a recent wave of protectionist regulations are sending mixed messages to the investment community. Overall, the economy is set to expand by around 6 percent this year.
Japan: Economic headwinds from Europe and China may put the brakes on Japan’s export growth. The country’s trade balance crept into the red and could magnify its sovereign debt problem. Reconstruction spending, a growing service sector and optimism in the non-manufacturing sector will likely help Japan’s economy grow 1–2 percent in 2012.
Philippines: Uncertain economic conditions from abroad are posing risks to an otherwise-stable Philippine economy. Foreign investment, a reliance on exports, and dwindling remittances from overseas Filipino workers are posing downside risks, but strong fundamentals coupled with a robust investment environment will likely enable the economy to expand by around 4.5 this year.
Vietnam: Despite economic difficulties, the Vietnamese government has maintained its GDP growth target of 6.0–6.5 percent for 2012. However, maintaining that target seems improbable, given the myriad challenges that confront the Vietnamese economy.
Asia Pacific Economic Outlook – June 2012 (5129.26 KB)
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