The ADB said recovery was underway in “developing Asia”, referring to the bank’s 46 members, including China and India, but growth was revised down to 7.2% from 7.3% projected in its Asian Development Outlook (ADO) report released in April.
The bloc’s combined economy was projected to expand 5.4% next year, compared with the April forecast of 5.3%.
In its ADO supplement, the ADB maintained its growth forecasts for China at 8.1% this year and 5.5% next year.
But it revised growth forecasts for India to 10% this year and 7.5% next year, compared with the April projections of 11% and 7.0%, respectively.
In Southeast Asia, the ADB revised 2021 growth forecasts to 4.1% from 4.5% for Indonesia; 2.0% from 3.0% for Thailand; 5.5% from 6.0% for Malaysia; and 5.8% from 6.7% for Vietnam.
It raised Singapore’s growth projection for this year to 6.3% from 6.0%, but kept the growth outlook for the Philippines at 4.5%.
For 2022, the ADB maintained its growth forecasts for most Southeast Asian economies: 5.0% for Indonesia, 5.7% for Malaysia, 5.5% for the Philippines, 4.1% for Singapore, and 7.0% for Vietnam.
But it raised the growth projection for Thailand to 4.9% for next year from 4.5%.
“On top of containment and vaccination measures, phased and strategic rejuvenation of economic activities – for instance, trade, manufacturing, and tourism – will be key to ensure that the recovery is green, inclusive, and resilient,” Sawada said.