World Bank2013-07-312013-07-312013-04-25978-1-4648-0077-12079-5874https://hdl.handle.net/10986/14685The developing economies of the East Asia and Pacific (EAP) region grew by 7.5 percent in 2012, lower than the 8.3 percent growth recorded in 2011, but still higher than that of any other region. Within the region, available data in the first quarter of the year indicate that external weakness may be abating, while domestic demand remains resilient. The expectation of some stabilization in external demand, coupled with still resilient domestic activity, may be showing in the industrial production and purchasing manager's index numbers, which are generally positive. The growth forecasts for EAP for 2013 and 2014 remain roughly similar to those of December last year. Both the global and regional outlooks are subject to several risks, most of which are by now familiar. Though the developing economies of East Asia are generally well-prepared to absorb external shocks, an emerging concern is the risk of over-heating in some of the larger economies in the region. Policy makers in developing EAP should strive to strike the right balance between managing the near-term risks, and sustaining and increasing inclusive growth in the medium-term by enhancing the underlying productive capacity-human and physical-of these economies.en-USCC BY 3.0 IGOaccumulation of debtagriculturearrearsasset priceasset purchaseasset qualitybailoutbalance of paymentsbalance sheetbank creditbank lendingbank loansbanking institutionsbanking sectorbanking systembanking unionbasis pointsbenchmarkbondbond flowsbond issuanceBond issuesbond spreadsbondsbuffersCapital flowscapital inflowscapital stockcash transfersCentral bankcentral bankscommodity pricesconsumer demandConsumer price indexcontingent liabilitiescorporate debtcredit expansionCredit growthcredit institutionscredit ratingcurrencycurrency appreciationCurrency marketsCurrent accountcurrent account balancecurrent account deficitcurrent account surplusCurrent account surplusesdebtdebt flowsdecline in investmentdeficitsdeflationdepository institutionsDeveloping countriesdeveloping countrydevelopment bankdevelopment Economicsdisposable incomedomestic consumptiondomestic creditdomestic demanddomestic demand growthdrag on growthEconomic Cooperationemerging economiesemerging marketemerging marketsequipmentEquity flowsEquity issueequity issuesexchange rateexchange ratesexport growthexport growth ratesexport marketexport performanceexport shareexport volumesexportersExternal debtexternal demandexternal shocksfinancial crisisfinancial marketfinancial marketsfinancial sectorfinancial stabilityfinancial systemfinancial systemsfiscal deficitFiscal deficitsfiscal policiesFiscal policyFixed assetFixed investmentforecastsforeign currencyForeign direct investmentforeign investmentforeign investmentsforeign investorsGDPglobal demandglobal economyglobal marketsglobal tradegoldgovernment bondgovernment bond yieldgovernment bondsgovernment debtgovernment deficitsgovernment financesgovernment guaranteesgovernment investmentgovernment spendingGrowth Projectionsgrowth rateHigh-income countryhousehold incomehousehold incomeshuman developmentimportImportsincomeincome growthIndex numbersInflationInflation ratesinflation targetinflationary pressuresinfrastructure developmentinfrastructure investmentsInitial public offeringinterest ratesInternational bankinternational capitalinternational reserveinternational reserve positionsinternational reservesInternational Settlementsinternational standardsinvestinginvestment activityinvestment flowsinvestment rateinvestment spendinginvestor confidenceIPoissuancelabor forcelevels of investmentliquiditylocal governmentlocal governmentslong-term debtloose monetary policiesloss of confidencemacroeconomic crisismarket benchmarkmarket conditionsmarket confidenceMarket Indexmonetary conditionsMonetary Fundmonetary policiesmonetary policynet exportsoil commodityopen economyoutput Gapoutturnspolicy responsesportfolioPortfolio flowsportfolio investmentpotential outputPoverty reductionprice increasesprice risksprice subsidiesprivate consumptionprivate investmentprivate investmentsproductive investmentProductivityProductivity growthpublic debtpublic investmentpublic offeringsPublic spendingPurchasing powerPurchasing power parityreal effective exchange ratereal exchange rateregional growthremittancesreservereservesstock marketStock market indicesstock marketsstructural problemstaxTotal factor productivitytrade datatrade deficittrade deficitstrade regimetrade surplusuncertaintyunemploymentvaluationsValue addedwageswarrantsworld development Indicatorsworld marketworld tradeWorld Trade OrganizationWTOWorld Bank10.1596/978-1-4648-0077-1