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The latest economic report for the United States indicates that the economy has experienced an impressive growth of 4.9% in the last quarter. This is a significant improvement from the 2.1% recorded in the second quarter and 2.2% in the first quarter. The growth was mainly attributed to personal consumption, Continue Reading

Following the China’s economic slowdown and its gloomy property outlook, instead of worrying about its likely declining export demand for ASEAN’s goods and service, the ASEAN countries might benefit economically from the Created in China concept. This enables Chinese companies to access business opportunities around the world. About a few Continue Reading

In the first half of the year, by destination, China’s largest trading partner is ASEAN countries. ASEAN countries contributed 15.8% of China’s total export (Figure 1) and 14.7% of total import (Figure 2). This reflects the closer economic ties between China and ASEAN countries. By composition, Vietnam contributed 4% of Continue Reading

Since the economy is reopening last year, the prospects of Asian currencies are declining against greenback. Somehow, a cheaper currency can be beneficial for the economy, as it has a multiplier effect on encouraging exports and narrowing existing trade deficits. A trade deficit occurs when a country buys more goods Continue Reading

The Malaysia ringgit (RM) has fallen to multi-month lows. The ringgit hit 4.748 per U.S. dollar on November 4, 2022, its lowest level since the outbreak of the 2020 outbreak. Despite a rebound in the first quarter of the year, it hit a year-to-date low of 4.6765 against the U.S. Continue Reading

Fiscal deficit is a budget shortfall, where government spends more than what it earns through tax and other revenues in a year. In 2022, the federal government spent US$6.29 trillion, and collected US$4.87 trillion, resulting in deficit spending of US$1.42 trillion (refers Figure 1). Over the past 50 years, the Continue Reading

Although ongoing interest rate increases have been made to curb inflation, the effort appears to be in vain. This year, in most economies, food costs and the core inflation rate are higher and sticker than forecast. In the U.S., year-on-year, headline inflation expanded by 4.9% in April, and core inflation Continue Reading

Structural reforms in private consumption are necessary for a further rebound in the Chinese economy Overall, some economic international organizations forecast that China’s economy may rebound to around 4-5% in 2023, and even better next year. They noted, however, that the economic forecasts are subject to significant uncertainties both within Continue Reading