Developing Asian economy to grow by 4.9% in 2024, 2025: Asian Development Bank

Developing economies in Asia and the Pacific regions are expected to expand by 4.9% both in 2024 and 2025, on average, the Asian Development Bank said on Thursday.

"The region continues its resilient growth amid robust domestic demand, improving semiconductor exports, and recovering tourism," the bank said in a press release.

It said that inflation is expected to moderate this year and next year, after being pushed up by higher food prices in many economies over the past two years.

"Stronger growth in South and Southeast Asia — fueled by both domestic demand and exports — is offsetting a slowdown in the People's Republic of China caused by weakness in the property market and subdued consumption," the bank said.

It said that India is expected to remain a major growth engine in the region, with a 7% GDP growth rate this year and 7.2% next year.

China's growth is forecast to slow to 4.8% this year and 4.5% next year, from 5.2% last year.

Albert Park, the chief economist of the bank, said: “We see strong, stable growth for the majority of economies in developing Asia this year and next.

"Consumer confidence is improving, and investment is resilient overall. External demand also appears to be turning a corner, particularly with regard to semiconductors.”