IMF expects Asia39;s economy to grow 4.6 in 2024, 4.4 in 2025
Risks to Asia39;s economic outlook tilted to downside, IMF says
Deflationary pressure from China could provoke trade tensions
IMF urges China to fix property woes, boost consumption
Sudden shift in Fed, BOJ expectations could jolt markets
TOKYO, Nov 1 Reuters Risks to Asia39;s economy have increased from escalating trade tensions, China39;s property sector woes and the potential for further market turbulence, the International Monetary Fund IMF said on Friday.
Persistent downward price pressures from China can provoke trade tensions by hurting sectors in neighbouring countries with similar export structures, the IMF said, urging Beijing to take steps to achieve a more demanddriven recovery for its economy.
A longer and largerthanexpected slowdown in China would be harmful for both the region and the global economy, the IMF said in its regional economic outlook report for Asia.
China39;s policy response is critical in this context, it said, calling on the need for steps to facilitate property sector adjustment and strengthen private consumption.
In its latest forecast, the IMF expects Asia39;s economy to expand 4.6 in 2024 and 4.4 in 2025 with looser monetary policy across the globe seen boosting private demand next year.
The projections for 2024 and 2025 were both revised up by 0.1 percentage point from the IMF39;s forecasts made in April, but lower than the 5.0 expansion in 2023.
Risks were…