The Boao Forum for Asia (BFA) released its Asian Economic Outlook and Integration Progress Annual Report 2024 on Tuesday, highlighting the expected resilience of the Asian economy amid global uncertainties.

The report states that despite facing various external economic challenges, Asia will maintain relatively high economic growth, supported by strong consumption and proactive fiscal policies. It expects the growth rate to surpass that of 2023, reaching around 4.5%, continuing as the largest contributor to global economic growth.

In terms of purchasing power parity (PPP), Asia's economic aggregate is predicted to account for 49% of global GDP in 2024, marking a 0.5 percentage point increase from 2023.

Li Baodong, secretary-general of the Boao Forum for Asia, holds up copies of the forum's flagship annual report, March 26, 2024. [Photo by Wang Yiming/China.org.cn]

Li Baodong, secretary-general of the BFA, emphasized the theme of this year's annual meeting, "Asia and the World: Common Challenges, Shared Responsibilities," during the release of the report. He also underscored the importance of international cooperation in addressing global challenges and promoting peace and prosperity worldwide.

Regarding the global employment outlook for 2024, the report notes that it is not particularly optimistic due to the ongoing economic downturn. However, it indicates that "Asia as a whole will fare better than the global average in 2024, with its overall unemployment rate expected to be 4.71% in 2024, significantly lower than the projected global unemployment rate of 5.16%."

Despite an increase in total weekly working hours of full-time jobs in most regions of Asia, income growth remains under considerable pressure, according to the report.

On the topic of prices, the document mentions that inflationary pressures in Asia will be further eased, although some low-inflation economies may witness a slight uptick in prices.

Regarding trade and investment, the report predicts that Asia is expected to reverse the downward trend in 2023. It says that affected by the global economic slowdown, geopolitical conflicts, the still-tight international financial environment and various other factors, the growth of Asian and even global trade and investment may face greater pressures and the impact of supply chain ruptures in 2024.

However, the report forecasts that with the accelerated development of digital trade, the recovery of tourism in Asia, as well as continuous advancements of some economic and trade arrangements, such as the Regional Comprehensive Economic Partnership (RCEP), the positive effects of restructuring Asian value chains and industrial chains on regional economic integration are expected to gradually emerge, which will add new impetus to Asian trade and investment.

"The advancement of RCEP represents a significant demonstration of Asia's unity and cohesion in regional economic integration, offering a substantial contribution to the promotion of global economic integration," said Xu Xiujun, a researcher at the Institute of World Economics and Politics of the Chinese Academy of Social Sciences.

Related

Go to Forum >>0 Comment(s)