The economy of Asia is promised collapse

World News

The International Monetary Fund (IMF) concluded that in 2020 the Asian economy will collapse by 2.2 percent, not 1.6, as previously assumed. The collapse is promised due to a general economic contraction and the coronavirus pandemic, CNBC reports.

The most difficult situation is in India, the Philippines and Malaysia. The IMF clarified that India and the Philippines experienced a “particularly sharp drop” in economic activity in the second quarter of 2020. For the fiscal year ending March 31, 2021, India’s economy is expected to decrease to 10.3 percent, the Philippines 8.3 percent and Malaysia 6 percent.

Earlier in October, analysts at the investment bank Goldman Sachs said the Asia has a good chance of recovering from the coronavirus pandemic. The experts pointed out that both location and the fact that Asian countries were relatively well able to control the spread of the coronavirus.

The position of the countries of the Asian region largely depends on China. In the opinion of specialists of the investment company Invesco, while recovering, the PRC will pull the neighboring states with it. Manufacturing in China is now growing at the fastest pace in nearly a decade. Photo: Thomas Peter / Reuters