ADB raises Asia growth outlook at 5.9%, flags risks from Fed unwinding

Developing Asia is on track to grow faster this year and next, the Asian Development Bank said on Tuesday, buoyed by a pick-up in world trade and China’s expansion, but it flagged risks from tightening U.S. monetary policy.

Developing Asia is expected to grow by 5.9 and 5.8 percent in 2017 and 2018, respectively, the Manila-based lender said.

That is unchanged from its July estimates, but higher than the 5.7 percent forecast it gave for both years in its Asian Development Outlook (ADO) released in April.

China is expected to grow 6.7 percent this year and 6.4 percent next year,