MANILA, Dec. 11 (Xinhua) -- The Asian Development Bank (ADB) has lowered its 2024 economic forecast for developing Asia amid steady growth and persisting risks in the region.
A supplement to the Asian Development Outlook 2024 released Wednesday trimmed the region's growth projection to 4.9 percent this year and 4.8 percent next year, lower than its previous forecast in September at 5 percent and 4.9 percent, respectively.
According to the report, the downward revisions to East Asia and South Asia offset stronger growth in the Caucasus and Central Asia and Southeast Asia, shaving 0.1 percentage point from growth in the region. For 2025, slower growth is expected in South Asia due to weaker domestic demand prospects.
"The growth of developing Asia remains steady," said the report, adding that "policies under the incoming Trump administration may impact the region."
"Changes to U.S. trade, fiscal, and immigration policies could dent growth and boost inflation in developing Asia," the report added.
The report also warned that "rising geopolitical tensions could lead to volatility in commodity prices and global financial markets."
The report lowered developing Asia's inflation forecast from 2.8 percent to 2.7 percent in 2024. Similarly, inflation outlook for 2025 is cut by 0.3 percentage points to 2.6 percent, reflecting weaker price pressures in East Asia, South Asia, and Southeast Asia. ■
