Asia as region is going to be doing better economically than the rest of the globe – in large part because it is home to some the most rapidly growing economies or “Asia Tigers.” However, in many of these counties domestic demand is rising, most timely at a point when the United States and Europe are facing various financial and economic hurdles which could undercut Asian exports to these developing countries. The IMF’s Anoop Sing, Director of the Asia Pacific Department offered the following assessment: “World facing uncertain risks but main point is in Asia, domestic demand has been resilient. We see this data in the first half of the year. Overall, we’ve seen strong domestic demand. This is protecting Asia to important extent, for uncertainty we see now building in advance economies.” “As you look at Asia, we have some moderation in the third quarter. And we have revised our prospect down because of downside risks. But overall, we are still projecting emerging Asia to be 7.5-8 percent growth this year and next year. This reflects strength of domestic demand in much of Asia” “As you look at the downside risks, you have to consider although Asian inter-regional trade increased over time, if you look at Europe and the U.S., these together count to more than third of the trade of Asia. Therefore any uncertainty as it now materializes for advanced economies, significant effect in Asia for trade side.” With increasing financial turbulence in the euro area and growth slowing in the United States, Asia is facing rising risks to its growth. Although far from the epicenter of the crisis, Asia remains vulnerable to further trade and financial shocks given its high degree of integration. In addition to a drop in global demand for Asian exports, foreign investors could retrench from the region, reversing their large positions. European banks could reduce cross border lending, causing credit flows to dry up. The globe is becoming ever more interconnected. Nonetheless, “Asia’s Economic Tigers” are their own story. LAST ARTICLE – “China-US Currency/Trade War?” - diplomaticallyincorrect.org/films/blog_post/china-us-currencytrade-war-by-ambassador-mo/36245 By Ambassador Muhamed Sacirbey Facebook – Become a Fan at “Diplomatically Incorrect”

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 International Financial Crisis Channel - diplomaticallyincorrect.org/c/international-financial-crisis