21 Apr 2017
Washington, DC, United States
Asia’s growth is forecast to accelerate in 2017 to 5.5 percent, up from 5.3 percent in 2016, according to the IMF. This makes Asia the leader of global economic growth, say IMF economists in a briefing on Friday about Asian and Pacific countries. But they pointed to significant downside risks that need to be addressed.
(English) Washington, DC – April 21, 2017 1. Wide Asia and Pacific Department briefing 2. Mid reporters at briefing 3. SOUNDBITE: (English) Changyong Rhee, Director of the Asia and Pacific Department of the IMF “The outlook for the region remains quite robust. Actually, it’s the strongest in the world. And, the recent data points to a pickup in growth momentum in Asia. Second, there are some upside risk, upside potential to near-term growth, such as the broad-based cyclical recovery, in particular in large economies in Asia, such as China and also globally, the United States. However, the outlook is also clouded by significant downside risks, such as geopolitical tension, inward-looking trade policies and rapid financial market tightening.” 4. Close reporter asking a question 5. SOUNDBITE: (English) Markus Rodlauer, Deputy Director of the Asia and Pacific Department of the IMF (SOUNDBITE STARTS ON WIDE SHOT) “Growth in the first quarter has surprised almost across the whole range of indicators and good growth came in at 6.9. All the high frequency indicators, almost all of them are very strong. The reason for high growth is several. One, fiscal -- and causing fiscal stimulus, create expansion, was very high. The real estate sector is very strong, and the external environment of course has also improved. So we have raised our annual forecast to 6.6 from 6.5. And we have to look again at that forecast, and there is upside risk and we may very well revise it up further in the Article IV even though we do see also some likelihood that some of this strong momentum will slow in the second half.” 7. Mid reporters
8. SOUNDBITE: (English) Kenneth Kang, Deputy Director of the Asia and Pacific Department of the IMF “In our forecast, we did reflect the temporary dislocation associated with the scheme. We had lowered our forecast by almost a full percentage point compared to the October WEO for this year and about a half a percent for growth next year. That being said, we are seeing signs that the impact of demonetization has abated. Some estimates point to about 75% of the cash has been replaced in the economy. And, recent indicators such as industrial production and PMI have recovered nicely.” 9. Mid IMF officials 10. Wide IMF officials at end of briefing
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