Asia-Pacific GDP Forecast to Grow Slowly in 2023, Drop to 2.9% Growth in 2024

• 5 March 2023
• Construction Focus
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The Asia-Pacific region’s economy is expected to experience slow growth in 2023, according to a report from an Asia-Pacific Economic Cooperation (APEC) research unit. The report forecasts that the region’s GDP will expand by 3.1% this year before dropping to 2.9% growth in 2024, due to downside risks continuing to pressure recovery.

“The enduring pandemic, high inflation coupled with rising interest rates and debts, as well as the ongoing geopolitical issues resulted in a significant slowdown in the global economy during 2022,” said Carlos Kuriyama, the newly-appointed director for the APEC Policy Support Unit.

“Both consumers and investors were cautious last year due to uncertainties and the gloomy economic outlook. As a result, demand and investment activities progressed slowly,” Kuriyama said.

Inflation in the region hit 5.8% in 2022, the highest since the 2008 financial crisis, but is expected to decrease to 3.9% and 2.7% in 2023 and 2024, respectively.

Trade growth in the region is also projected to weaken in 2023 due to slowing global demand, with imports expected to decline by 2.4% year-on-year, while exports are projected to expand by 1.6%.

• Analysis
• Economy and Finance
• APEC