Asia Economics Update Policy easing in India won't prevent sharp slowdown With the aftershocks from the Mumbai terror attacks adding to the downside risks to growth, further rate cuts and a fiscal stimulus look imminent in India. But these measures are unlikely to ward off... 5th December 2008 · 1 min read
Asia Economics Update Should China force a renminbi depreciation? A sizeable depreciation of the renminbi against the dollar would be provocative during a global slump and might do little to help China’s economy. 4th December 2008 · 1 min read
Asia Economics Update Thailand slipping into recession, rates to fall to 1% Today’s decision by the Bank of Thailand to cut official rates by a larger-than-expected 100bp to 2.75% is likely to be the first of a series of moves by the central bank to counter the possibility of... 3rd December 2008 · 1 min read
Asia Economics Update China slashes interest rates With credit quotas lifted, China’s aggressive rate cuts today should ensure that the flow of credit to the economy is sustained. But the government’s hopes that the banking sector will finance much of... 26th November 2008 · 1 min read
Asia Economics Update Bank of Japan on hold - but not for much longer As widely anticipated, the Bank of Japan left policy rates unchanged today. However, the prospect of outright declines in both economic activity and prices next year suggests that rates are heading... 21st November 2008 · 1 min read
Asia Economics Update China abandons credit quotas to support growth The quiet lifting of credit quotas, confirmed in Chinese media over the weekend, is arguably the most significant step taken so far by the authorities as they attempt to limit China’s economic... 4th November 2008 · 1 min read
Asia Economics Update Bank of Japan still not finished cutting rates The Bank of Japan’s willingness to cut interest rates even further from already exceptionally low levels, combined with the prospect of outright declines in both economic activity and prices, suggests... 31st October 2008 · 1 min read
Asia Economics Update India’s central bank pauses for breath, cuts to resume shortly Today’s decision by the Reserve Bank of India (RBI) to leave policy rates on hold was widely expected after recent actions proved successful in calming India’s money markets. Nonetheless, with... 24th October 2008 · 1 min read
Asia Economics Update New forecasts for currencies and commodities The recent acceleration in the dollar’s appreciation against other major currencies (with the notable exception of the yen) reflects a combination of factors, none of which is likely to reverse any... 22nd October 2008 · 1 min read
Asia Economics Update Botching the slowdown in China In focusing too narrowly on supporting the economy over the short term, China risks undermining its successes in making growth more sustainable over the long term. 22nd October 2008 · 1 min read
Asia Economics Update Korean bailout positive but won't prevent slowdown The announcement of a massive $130bn (13% of GDP) liquidity support package by the Korean authorities over the weekend should calm the markets and boost the currency in the short run, but it won’t... 20th October 2008 · 1 min read
Asia Economics Update India tries to boost investor confidence with big rate cut Today’s unexpected 100 basis point (bp) cut by the Reserve Bank of India (RBI) in the key repo lending rate, to 8.0%, is intended to boost investor and consumer confidence. But given that this is the... 20th October 2008 · 1 min read
Asia Economics Update Trying, and failing, to make sense of China's slowdown The sharp slowdown in Chinese GDP growth in the third quarter is hard to square with detail showing still healthy growth in spending across the economy. Nonetheless, officials will err on the side of... 20th October 2008 · 1 min read
Asia Economics Update What does the global slowdown mean for Japan? Japan’s seasonally adjusted trade deficit of ¥208 billion in August reported earlier in the week – the first monthly deficit since the early 1980s – has increased concerns about the fallout from the... 17th October 2008 · 1 min read
Asia Economics Update India's financial stability fears prompt another reserve ratio cut Today’s announcement by the Reserve Bank of India (RBI) of another cut in the cash reserve ratio suggests that the shift in focus away from inflation is towards financial stability and not growth. 15th October 2008 · 1 min read
