Asia’s financial markets are increasingly vulnerable to external shocks. Here are three steps to make its economies more resilient.
Developing Asia has much to gain from leveraging the talent and experience of its older demographic.
Public capital spending has been persistently weak in Nepal, and raising the amount and quality of capital expenditure required to close the infrastructure deficit is one of the country’s most pressing challenges.
The 7.8 magnitude earthquake that rocked Nepal on 25 April has imposed a huge human and economic toll on the country. Estimating the exact economic cost will be an ongoing process, but these are our initial thoughts.
Political unrest since late September in Nepal has culminated in the obstruction of trade and transit, which will have a significant impact on post-quake GDP growth.
Aging can adversely affect economic performance, demanding changes in social and economic policies to address the challenge. While the best-known dimension of aging relates to fiscal sustainability due to spiraling health care and pension costs, the repercussions are wider. More worryingly, aging will ultimately constrain economic growth because labor supply shortages result in lower GDP growth in the absence of increases in total factor productivity.
The region's strong fundamentals limit the risk of foreign exchange volatility.
The region’s infrastructure bond market is still at a nascent stage.
Public-private partnerships are key to development projects, but inherent risks hinder private zeal.
Expanding the role of fiscal policy in fighting poverty and inequality should not come at the expense of fiscal sustainability.