Economic 2011, Hers Asia

Starting this year, economic growth in Asia is expected to drive rapid growth in the region compared to the U.S. and Europe.

This condition will take place in times of global economic recovery until 2011.

"This year and next year is the year of Asia since the Asian economic growth is more rapid than the U.S. and Europe," said Standard Chartered Bank senior economist Fauzi Ichsan, in Jakarta, Tuesday (06/01/2010).

Until the end of 2010, real GDP growth of Asian countries is predicted to be above the average world GDP growth, which is 4.2 percent. China is predicted to reach 10 percent, India at the rate 8.1 percent, Indonesia at 6.2 percent, 5 percent of Malaysia, the Philippines 5.9 percent, and Singapore 6.5 per cent. Only Thailand, which grew just 2.8 percent and Japan at 1.5 percent. These figures are certainly above the U.S. growth at 3.1 percent rate and the only European region will grow 1.2 percent.

According to Fauzi, the rapid income growth in Asia will make the stock and capital markets of Asia will be more attractive that investors will be competing to come. Progress is predicted to be accompanied by the strengthening of currencies of Asian countries. "Therefore, we rupiah exchange rate against the U.S. dollar is expected to continue to strengthen to $ 8800 until the end of this year," he added.

Fauzi no grandiose claims. A number of economic indicators in the first quarter showed continuing confidence of the Asian economic growth. In the last month when the European crisis was in turmoil, he continued, Credit Default Swaps (CDS), Asia's rise, but not at the time of banking crisis in the U.S. in 2008. This shows the impact of a European crisis of the U.S. crisis.

According to Fauzi, Asia also benefited from the fact that low global interest rates because interest rates in the U.S., Europe, and Japan is close to zero. For Indonesia, this reduces the pressure on Bank Indonesia to raise the BI Rate. "This means that for investors who believe the recovery has happened they will be more attracted to the capital markets," he said.