Asia Economics Update Further tightening to come in Indonesia Today’s rate hike by Bank Indonesia (BI) comes against a backdrop of continued weak economic growth and subdued inflation, and demonstrates that BI’s main focus remains supporting the currency. With... 15th August 2018 · 1 min read
Asia Economics Update What does the crisis in Turkey mean for Asia? There is a good chance that the recent volatility in financial markets triggered by the crisis in Turkey will prompt Bank Indonesia into hiking interest rates at its meeting on Wednesday. For most... 13th August 2018 · 1 min read
Asia Economics Update Philippines: nearing the end of the tightening cycle The central bank in the Philippines (BSP) today increased its policy rate for the third meeting in a row, and left the door open to further rate hikes. We think at least one further increase in rates... 9th August 2018 · 1 min read
Asia Economics Update Thailand holds rates, but one hike likely this year The Bank of Thailand left its policy rate at 1.50% today, but the hawkish shift in the central bank’s tone means a rate hike is now likely before the end of the year. We are revising our end-2018... 8th August 2018 · 1 min read
Asia Economics Update Sri Lanka: rate cut still likely before the end of the year Given the recent rebound in inflation, it was no surprise that the central bank of Sri Lanka (CBSL) decided to leave policy on hold today. But with growth continuing to disappoint and inflation likely... 3rd August 2018 · 1 min read
Asia Economics Update What next for Pakistan after the election? Imran Khan looks set to be confirmed as Pakistan’s next prime minister just as the economy teeters on the brink of a full-blown economic crisis. His plans to boost social spending will have to be... 26th July 2018 · 1 min read
Asia Economics Update Will Cambodia’s investment-led growth last? Hun Sen is likely to record his fifth election victory on Sunday against the backdrop of an economy riding high on the back of a Chinese investment boom. Chinese money should help to support strong... 25th July 2018 · 1 min read
Asia Economics Update Indonesia: more rate rises likely despite today’s hold Bank Indonesia (BI) left interest rates on hold today, but the hawkish tone of Governor Perry Warjiyo’s press conference and the accompanying policy statement reaffirm our view that further monetary... 19th July 2018 · 1 min read
Asia Economics Update Philippines infrastructure drive: too much, too fast? The big push to update the Philippine’s infrastructure has led to a number of painful side effects, including a worsening external position, a falling currency and an increase in inflation. However... 17th July 2018 · 1 min read
Asia Economics Update Pakistan hikes rates aggressively, more action to come The State Bank of Pakistan’s (SBP) 100bp hike to its policy rate on Saturday, along with today’s devaluation of the rupee, underlines growing concerns about the country’s precarious external position... 16th July 2018 · 1 min read
Asia Economics Update Korea holds rates, imminent tightening unlikely The Bank of Korea (BoK) kept its policy rate on hold at 1.50% today, and while there was a dissenter favouring a rate hike, rising downside growth risks, benign inflation and limited external... 12th July 2018 · 1 min read
Asia Economics Update The impact of Trump’s China tariffs on the rest of Asia US plans to impose tariffs on an additional $200bn of Chinese imports represent a marked escalation of the ongoing trade tensions between the US and China. The tariffs would have knock-on effects on... 11th July 2018 · 1 min read
Asia Economics Update Malaysia: rates on hold and likely to stay there Malaysia’s central bank (BNM) left interest rates unchanged at today’s scheduled monetary policy meeting, but it shifted to a more dovish tone under its new governor. While we are forecasting no... 11th July 2018 · 1 min read
Asia Economics Update Further rate hikes likely in Indonesia Bank Indonesia’s (BI) decision to hike interest rates by a more-than-expected 50 basis points today suggests that the central bank’s priority over the coming months will be to support the currency... 29th June 2018 · 1 min read
Asia Economics Update Taiwan’s central bank to keep policy on hold With economic growth fairly strong and inflationary pressures subdued, Taiwan’s central bank (CBC) decided today to keep its policy rate unchanged at 1.375%. The dovish tone of the Bank’s accompanying... 21st June 2018 · 1 min read
Asia Economics Update Philippines: One more hike likely Given the hawkish tone of the central bank’s statement, a further rate increase in the Philippines now looks likely. We originally thought today’s hike would mark the end of the tightening cycle. But... 20th June 2018 · 1 min read