Emerging Asia will contribute less to the global economy in 2015 than was expected just months ago as a slowdown in China drags on growth in the region, partially offset by acceleration in the United States, Reuters polls showed.
Until recently the primary engine of global growth, most Asian economies have slowed, hamstrung by erratic exports, sluggish domestic demand, capital outflows and political and policy uncertainty.
At the same time, many of Asia’s major trading partners in the West are grappling with disinflation and weak demand, making it difficult for central banks there to move away from aggressive monetary stimulus.
Estimates for 2015 GDP growth were either cut or left unchanged for nine Asian countries in the latest poll of over 200 economists conducted over the past week, with Hong Kong, Indonesia and Singapore bearing the brunt of the downgrades.
India, Malaysia and Thailand were the few economies for which economists made slight upgrades to growth projections.
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