Asia Economics Update Australia still targeting a quick return to budget surplus Despite recent natural disasters, Australia’s government stuck to its aim of moving back into a surplus by 2012-13 in today’s federal budget. The goal is likely to be achieved given the prospect of... 10th May 2011 · 1 min read
Asia Economics Weekly Bank of Korea set to tighten again We expect Korea’s central bank to raise its base rate by 25bp to 3.25% on Friday. This is also the consensus view. GDP growth was strong at the start of the year while core inflation, which excludes... 9th May 2011 · 1 min read
Asia Economics Update Bank Negara Malaysia set to tighten further Today’s 25bp policy rate hike by Bank Negara Malaysia (BNM) surprised the consensus, which expected no change, but was in line with our forecast. We expect further tightening to 3.5% by the end of the... 5th May 2011 · 1 min read
Asia Economics Update More rate hikes to come in the Philippines The Philippines’ central bank (BSP) raised its policy rate by 25bp to 4.5% today, as expected. Core inflation has been trending upwards and is likely to continue doing so, while economic growth looks... 5th May 2011 · 1 min read
Asia Economics Update Indonesia set for strong growth this year Today’s Q1 GDP data were slightly weaker than the consensus had expected, but underlying growth momentum remains resilient. We still believe that price pressures rather than any concern over growth... 5th May 2011 · 1 min read
Asia Economics Update Australia's monetary tightening on course to resume this year The Reserve Bank of Australia (RBA) held its cash rate at 4.75% today, as expected. Nonetheless, core inflation rose in Q1 while above-trend GDP growth looks likely over 2011-12. The upshot is that we... 3rd May 2011 · 1 min read
Asia Economics Update Reserve Bank of India accelerates rate hikes The Reserve Bank of India surprised the markets with a 50bp hike to the repo rate to 7.25% today, whereas both we and the consensus had expected 25bp. The accompanying annual Monetary Policy Statement... 3rd May 2011 · 1 min read
Asia Economics Update Reserve Bank of India accelerates rate hikes The Reserve Bank of India surprised the markets with a 50bp hike to the repo rate to 7.25% today, whereas both we and the consensus had expected 25bp. The accompanying annual Monetary Policy Statement... 3rd May 2011 · 1 min read
Asia Economics Weekly India to continue policy tightening We expect the Reserve Bank of India to raise the repo rate by another 25bp to 7.0% on Tuesday. Recent data show that inflation has picked up again. Moreover, there are growing signs of demand-pull... 2nd May 2011 · 1 min read
Asia Economics Update RBNZ to resume tightening by year-end As expected, the Reserve Bank of New Zealand (RBNZ) left its policy rate on hold at 2.5% today, after cutting by 50bp last month in response to the Christchurch earthquakes. Admittedly, the RBNZ will... 28th April 2011 · 1 min read
Asia Economics Update Korea's resilient growth warrants further policy tightening Korea's economy grew at a faster pace in Q1, broadly in line with expectations. Despite greater uncertainty about global demand, we think policy-makers are right to worry more about inflation than... 27th April 2011 · 1 min read
Asia Economics Weekly Asia's central banks need to continue tightening policy Growing uncertainty about global growth is prompting some policymakers in the region to adopt a “wait and see” approach. However, we think that most of these concerns will soon dissipate. The key... 25th April 2011 · 1 min read
Asia Chart Pack Inflation remains policymakers' key concern Inflation has risen further as food and fuel prices remain high and strong growth has left little spare capacity in many economies across the region. Policy interest rates will move up further, but... 21st April 2011 · 1 min read
Asia Economics Update More monetary tightening to come in Thailand The Bank of Thailand (BoT) hiked its policy rate by 25bp to 2.75% today, as was universally expected. As with elsewhere in the region, keeping a lid on inflation remains the key concern for... 20th April 2011 · 1 min read
Asia Economics Weekly Bank of Thailand set to hike again The Bank of Thailand (BoT) announces its policy rate decision on Wednesday and we expect the repo rate to be raised by 25bp for the fourth meeting in a row, to 2.75%. Prospects for domestic demand... 18th April 2011 · 1 min read
Asia Economics Update Another jump in Indian inflation confirms case for rate hikes Inflation data released today strengthen the case for the Reserve Bank of India (RBI) to continue raising rates. We expect the repo rate to be hiked in May, followed by even more tightening this year. 15th April 2011 · 1 min read
