News / Asia

Asia to Lead Global Economic Growth in 2010

Asia to Lead Global Economic Growth in 2010
Asia to Lead Global Economic Growth in 2010


David Dyar

The United Nations says the world economy is on the mend. In its annual economic report released Wednesday (January 20), the U.N. predicts a global growth rate of 2.4 percent in 2010 with East and South Asia taking the lead.  But the organization warns conditions for sustained growth around the world remain fragile.

The U.N. report says the world's economy is beginning to show signs of modest recovery. Equity markets are on the rebound, international trade and industrial production are rising and banks are starting to lend again.  It's an economic revival driven in large part by massive stimulus measures around the world.  

"In Hong Kong, we have spent some $11.2 billion on economic stimulus measures.  That is equivalent to about 5.2 percent of our GDP.  We have taken extraordinary steps to guarantee bank deposits, support small and medium enterprises and provide additional capital to the banking sector if required," said Hong Kong chief executive Donald Tsang. His comments came at the start of the Asian Financial Forum in Hong Kong, where international delegates and representatives of the International Monetary Fund met to discuss the region's economic future. 

"The transformation has been huge and the share of Asia in the global economy has raised a lot, helping hundreds of millions escape poverty.  And in front of us, we have the possibility of sustained growth, helping billion, one billion people to get out of poverty,' said IMF director Dominique Strauss-Kahn, who noted the crucial role Asia is playing in a post recessionary world.

The world economy has shown steady improvement since the second quarter of 2009, but Strauss-Kahn says the recovery has been uneven.  China grew at a blistering pace of 10.7 percent in the final quarter of 2009, but the government has since placed curbs on lending to reduce inflation and cool down an overheated economy.  In contrast, Japan is worried deflation and weak demand could push the economy back into recession. 

"Macro-economic situation has been very sluggish for last couple of decades.  Japan hasn't seen, in Japan, we haven't seen the actual nominal GDP growth for as long as two decades," said Takashi Hibino, head of brokerage firm, Daiwa Securities. 

Forecasts call for East Asia to grow 6.7 percent this year, followed by South Asia, - at 5.5 percent in 2010. 

The IMF expects growth to accelerate in the poorest regions in Africa as the global recession eases.

And the U.S. and the 16 nation Eurozone can expect modest but continued expansion even as job growth continues to lag in the new year. 

You May Like

Video Obama: Action on Climate Change 'Economic, Security Imperative'

President spoke to reporters on sidelines of UN Climate Summit outside Paris, where leaders are working to agree on binding measures

IMF Bets on China’s Resolve to Reform

IMF announcement already raising questions about just how much Beijing is committed to such reforms

What Happened When I Landed in Antarctica

Refael Klein chronicles what it's like to visit one of the coldest, most desolate places on Earth

This forum has been closed.
There are no comments in this forum. Be first and add one

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
With HIV, Can We Get to Zero?i
Carol Pearson
November 29, 2015 1:23 PM
The theme of this year's World AIDS Day is "Getting to Zero." The U.N. says new HIV infections have been reduced by 35 percent since 2000 and AIDS-related deaths are down by 42 percent since the peak in 2004. VOA's Carol Pearson takes a look at what it might take to actually have an AIDS-free generation.

Video With HIV, Can We Get to Zero?

The theme of this year's World AIDS Day is "Getting to Zero." The U.N. says new HIV infections have been reduced by 35 percent since 2000 and AIDS-related deaths are down by 42 percent since the peak in 2004. VOA's Carol Pearson takes a look at what it might take to actually have an AIDS-free generation.

Video Political Motives Seen Behind Cancelled Cambodian Water Festival

For the fourth time in the five years since more than 350 people were killed in a stampede at Cambodia’s annual water festival, authorities canceled the event this year. Officials blamed environmental reasons as the cause, but many see it as fallout from rising political tensions with a fresh wave of ruling party intimidation against the opposition. David Boyle and Kimlong Meng report from Phnom Penh.

Video African Circus Gives At-Risk Youth a 2nd Chance

Ethiopia hosted the first African Circus Arts Festival this past weekend with performers from seven different African countries. Most of the performers are youngsters coming form challenging backgrounds who say the circus gave them a second chance.

Video US Lawmakers Brace for End-of-Year Battles

U.S. lawmakers are returning to Washington for Congress’ final working weeks of the year. And, as VOA's Michael Bowman reports, a full slate of legislative business awaits them, from keeping the federal government open to resolving a battle with the White House over the admittance of Syrian refugees.

Video Taiwan Looks for Role in South China Sea Dispute

The Taiwanese government is one of several that claims territory in the hotly contested South China Sea, but Taipei has long been sidelined in the dispute, overshadowed by China. Now, as the Philippines challenges Beijing’s claims in an international court at The Hague, Taipei is looking to publicly assert its claims. VOA’s Bill Ide has more from Beijing.

Video After Terrorist Attacks, Support for Refugees Fades

The terrorists who killed and injured almost 500 people around Paris this month are mostly French or Belgian nationals. But at least two apparently took advantage of Europe’s migrant crisis to sneak into the region. The discovery has hardened views about legitimate refugees, including those fleeing the same extremist violence that hit the French capital. Lisa Bryant has this report for VOA from the Paris suburb of Cergy-Pontoise

Video Syrian Refugees in US Express Concern for Those Left Behind

Syrian immigrants in the United States are concerned about the negative tide of public opinion and the politicians who want to block a U.S. plan to accept 10,000 Syrian refugees. Zlatica Hoke reports many Americans are fighting to dispel suspicions linking refugees to terrorists.

Video Thais Send Security Concerns Down the River

As Thailand takes in the annual Loy Krathong festival, many ponder the country’s future and security. Steve Sandford reports from Chiang Mai.

Video Islamic State Unfazed by Losses in Iraq, Syria

Progress in the U.S.-led effort to beat Islamic State on its home turf in Iraq and Syria has led some to speculate the terror group may be growing desperate. But counterterror officials say that is not the case, and warn the recent spate of terror attacks is merely part of the group’s evolution. VOA National Security correspondent Jeff Seldin has more.

Video Belgium-Germany Border Remains Porous, Even As Manhunt For Paris Attacker Continues

One of the suspected gunmen in the Nov. 13 Paris attacks, Salah Abdeslam, evaded law enforcement, made his way to Belgium, and is now believed to have fled to Germany. VOA correspondent Ayesha Tanzeem makes the journey across the border from Belgium into Germany to see how porous the borders really are.

Video US, Cambodian Navies Pair Up in Gulf of Thailand

The U.S. Navy has deployed one of its newest and most advanced ships to Cambodia to conduct joint training drills in the Gulf of Thailand. Riding hull-to-hull with Cambodian ships, the seamen of the USS Fort Worth are executing joint-training drills that will help build relations in Southeast Asia. David Boyle reports for VOA from Preah Sihanouk province.

Video Uncertain Future for Syrian Refugee Resettlement in Illinois

For the trickle of Syrian refugees finding new homes in the Midwest city of Chicago, the call to end resettlement in many U.S. states is adding another dimension to their long journey fleeing war. Organizations working to help them integrate say the backlash since the Paris attacks is both harming and helping their efforts to provide refugees sanctuary. VOA's Kane Farabaugh reports.

VOA Blogs