Publication: World Bank East Asia and Pacific Economic Update 2010, Volume 2 : Robust Recovery, Rising Risks
Date
2010
ISSN
Published
2010
Author(s)
World Bank
Abstract
Output has recovered to above pre-crisis
levels throughout developing East Asia and, in some
countries, is expanding at near pre-crisis rates. Real Gross
Domestic Product (GDP) is likely to rise 8.9 percent in the
region in 2010, up from 7.3 percent in 2009 and in line with
the average growth rate during 2000-08. Economic expansion
is projected to slow to about 7.8 percent in 2011, as spare
capacity becomes scarce, fiscal and monetary stimulus
measures are gradually unwound, and economic growth in the
advanced economies remains relatively flat. Encouragingly,
the private sector is once again becoming the engine of
growth, confidence is returning, and trade flows have
returned to pre-crisis levels. But the recovery so far has
generated little incremental manufacturing employment in
some of the middle-income countries. With output gaps
closing rapidly and private investment recovering strongly,
the authorities in most East Asian countries are unwinding
their stimulus measures. Finally, a more consistent
application of policy incentives for investment and growth
across space is called for, especially recognizing
China's unique combination of fiscal decentralization
and centralized government structure. Extending preferential
policies related to taxation and deregulation further
inland, broadening the access to credit, and standardizing
basic health and education services across provinces will
greatly level the playing field in favor of the inland
provinces, improving both equity and growth.
Citation
“World Bank. 2010. World Bank East Asia and Pacific Economic Update 2010, Volume 2 : Robust Recovery, Rising Risks. World Bank East Asia and Pacific Economic
Update 2010; vol no. 2. © World Bank. http://openknowledge.worldbank.org/handle/10986/2536 License: CC BY 3.0 IGO.”