MANILA, Reuters – Tuesday’s revisions by the Asian Development Bank to its forecasts of growth for Asia developed for next year and this year were made in response to uncertainty and risks posed by Omicron coronavirus.

According to the Manila-based lender, 2021 will see 7.0% gross domestic product growth for developing Asia. This is down from 7.1% in September and 5.3% growth for 2022.

In a supplement to their Asian Development Outlook report, the ADB noted that COVID-19 in Asia has declined. However, rising numbers and the appearance of a rapidly-spreading strain suggest that the pandemic may take some time.

A weaker recovery in China is partly responsible for subregions in developing Asia sloweding their growth.

China’s economy has been struggling to recover from the pandemic slump last year. It had a remarkable rebound, but it is now losing momentum as it struggles with rising prices, slowing manufacturing, property market debt and ongoing COVID-19 epidemics.

ADB predicts that China’s economy would grow 8.0% this fiscal year. It is slightly lower than the 8.1% September forecast, and then it will decline to 5.3% by 2022. That figure is down from 5.5% in its original projection.

Omicron was recently reported to have been discovered in 60 different countries, according to the World Health Organization.

ADB has lowered its 2021 India growth projection to 9.7%, down from 10.0% in September. However, it left unchanged its 2022 growth outlook at 7.5%.

ADB took into consideration Southeast Asia’s slower expansion in the third quarter. It reduced its 2021 growth forecast to 3.0% from 3.1%. But it raised its projection for next year to 5.1%.

The ADB stated that inflation is expected to remain manageable for Asia. It would permit monetary policy to support growth in the face of continued pandemic risk.

GDP GROWTH

2020 2021 2021 2021 2022 2022 2022

JULY SEPT DEN DEC JULYSEPT DEN

Central Asia: 1.9.3.6.4.1.4.7.4.0.4.2.4.4

East Asia 1.8.7.5 7.6.7.5 5.1.5.1

China 2.3.8.1.8.1.8.0 5.5.5.5.5.3

South Asia: 5.6 8.9 8.8 8.6

India: 7.3 10.0 10.0 9.7 7.7.5 7.5.

Seast Asia -4.0,4.0,3.1 3.0,5.2,5.0

Indonesia -2.1 4.1 3.5 3.5 5.0 4.8 5.0

Malaysia -5.6.5.5 4.7.3.8 5.7.6.1 5.9

Myanmar 3.3 n/a -18.4 n/a n/a n/a n/a

Philippines -9.6 4.5 4.5 5.1 5.5 5.5 6.0

Singapore -5.4 6.3 6.5 6.9 4.1 4.1 4.1

Thailand -6.1 2.0.0.8 1.0.4.9 3.9.4

Vietnam 2.2.9 5.8 3.0 7.0 6.5

Pacific: 5.3.0.3 -0.6. -0.6. 4.0.4.8.

Developing: -0.1.7.2.7.0.5.4.5.4.5.3

Asia

INFLATION

2020 2021 2021 2021 2022 2022 2022

JULY SEPTDEC JULYSEPTDEC

Central Asia 7.7 7.0 8.6 6.3.6.7 7.3

East Asia 1.5 1.2 2.2 2.2.2

China 2.5 1.5 1.3.1.0.2.3.2.3.2.1

South Asia 6.5 5.8 5 5.9 5.9 5.1

India 6.2.5.5.5.5.5.6.4.8.4.8.

Seast Asia 1.2,2.3,2.2,2.1,2.4,2.5

Indonesia 2.0 2.1 1.7 1.5 2.8 2.7 2.7

Malaysia: 1.12.0 2.5 2.0 2.0 2.3.2.3

Myanmar 5.7 n/a 6.2 n/a n/a n/a n/a

Philippines 2.6 4.1 4.1 4.4 3.5 3.5 3.7

Singapore -0.2 1.3 1.6 2.0 1.2 1.4 1.4

Thailand: 0.8 1.1.1.1.1.1.1.0.1.0

Vietnam: 3.2.0 2.8.2.2 4.0.3.5

The Pacific 3.4.3.7.3.6.3.5.3.9.4.1

Develop 2.8.2.4.2.2.2.1.2.7.2.7

Asia