Asia will likely contribute about two-thirds of global growth in 2024

Michael Patra, Deputy Governor of the Reserve Bank of India stated yesterday that there is broad consensus that the centre of gravity of the global economic order is moving eastwards to Asia. This growth performance is expected to be underpinned by the resilience of domestic drivers. Overall, Asia will likely contribute about two-thirds of global growth in 2024, a carryover of its blockbuster performance in 2023. Another noteworthy development is that disinflation is expected to remain on track in Asia and convergence with central bank targets is being sighted. Thus, the outlook for Asia in a stormy and unsettled global environment is one of sustained growth with stability.

Within Asia, the group of nations served by South East Asian Central Banks or SEACEN will likely be its main engine of progress. This presents exciting opportunities as well as trials and tribulations. According to a recent Suara SEACEN blog, the challenges that our central banking community has flagged are changing workforce demographics, the rise of financial products and services beyond the conventional definition of banking, digitalisation, climate change, talent shortages and persistent supply shocks, apart from the pandemic and the recent inflation experience. It is in this context that SEACEN assumes importance as a supra-national public good committed to building capacity and fostering networking and collaboration in our region.

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