This is a syndicated repost published with the permission of Statista | Infographics. To view original, click here. Opinions herein are not those of the Wall Street Examiner or Lee Adler. Reposting does not imply endorsement. The information presented is for educational or entertainment purposes and is not individual investment advice.
Many developing nations in the East and Southeast Asia region have taken a major hit economically due to the coronavirus pandemic. According to the latest economic outlook by the Asian Development Bank, all countries are supposed to bounce back in 2021, however. But the so-called V-shaped recovery is stronger for some than for others.
Malaysia, Thailand and the Philippines dealt with some of the biggest losses to GDP in 2020, albeit for different reasons. While Malaysia and the Philippines experienced excess cases that impacted the economy due to repeated lockdowns, Thailand until recently kept infections very low. Yet, the country is heavily dependent on tourism and international travel restrictions therefore dealt a major blow to its GDP.
Vietnam and China as well as Taiwan were among those which due to low infection numbers skid through 2020 without negative GDP growth. According to the ADB, countries which carry high debts (Thailand, Malaysia, Vietnam) are also subject to higher losses. Yet, Vietnam profited in 2020 from initially picking up slack left by decreasing Chinese export. The country’s manufacturing sector had been taking over certain market segments even before the crisis as the Chinese economy is transitioning to a higher value-added model.
On the whole, developing economies in Asia shrunk by 0.2 percent in 2020. The report expects a strong bounce-back in the region overall, with growth of 7.3 percent in 2021, compared with 5 percent in 2019.
This chart shows 2019/2020 GDP growth and 2021 expected GDP growth for selected developing countries in East and Southeast Asia.
Join the conversation and have a little fun at Capitalstool.com. If you are a new visitor to the Stool, please register and join in! To post your observations and charts, and snide, but good-natured, comments, click here to register. Be sure to respond to the confirmation email which is sent instantly. If not in your inbox, check your spam filter.
