East Asia Update - May 2017

Abstract

Major Association of Southeast Asian Nations (ASEAN) countries (Indonesia, Malaysia, Philippines, Singapore, Thailand, and Viet Nam) recorded an average growth of 4.5% in Q1-2017 (Table 1). In Q1 2017 growth of the ASEAN countries is generally driven by improvements in the external sector, as manifested through higher exports, robust manufacturing activity, and healthy private consumption. Furthermore, the increasing exports of Southeast Asian countries are also having a positive effect on their current account balances and international reserve levels (Table 1). These positive developments provide greater optimism regarding the structural reforms that are being undertaken in these countries and provide their governments with greater legitimacy to continue the reforms.