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India among ten Asian economies to see robust GDP growth by 2030: Report

The report further said the demographic dividend that many Asian countries benefited from in the past may not be as valuable now

Press Trust of India  |  New Delhi 

Economy growth

The 10 major economies of Asia, including India, are expected to see robust growth and amount to over $28 trillion in real terms on aggregate, more than the US by 2030, says a report.

According to the Asia-10 economies are -- China, Hong Kong, India, Indonesia, Malaysia, the Philippines, Singapore, South Korea, Taiwan, and Thailand.

By 2030, Asia-10 economies will grow so robustly that they will, on aggregate, amount to over $28.35 trillion in real (2010 constant dollars) terms, while for the United States will amount to $22.33 trillion.

"We expect Asia-10 to pull ahead of the US by 2030," said, but added that this neither is a sufficient nor a necessary condition to invest in Asia, as investing cannot be based on a single indicator, especially when it comes to a long-term horizon.

According to the global financial services major, has a bright economic future, however, all Asian economies face some common issues climate change, rising inequality, worsening environment for trade, and technological disruption that can drag growth numbers.

"Several dynamics that have supported the economic development of the Asian economies in recent decades are weakening, and there are many changes in the environment," DBS said in a research note.

The report further said the demographic dividend that many Asian countries benefited from in the past may not be as valuable now.

A young population creates a "challenge" in terms of generating jobs, in absence of which there will be high levels of unemployment, creating both an economic and social/political challenge, the report noted.

"Countries like and the will need to work hard to create employment for its young population; while ageing countries like Singapore, and may be able to offset the demographic drag through the active use of new technology," the report said.

Moreover, rising protectionism by global economies will act as a threat for investment flows into

"There is real potential for trade protectionism to emerge, which would reduce trade and investment flows in the region," DBS said adding that is one of the most externally exposed regions in the world, and trade conflict would have a meaningful economic impact on the Asian economic outlook.

First Published: Sun, July 22 2018. 23:21 IST
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