ESCAP urges caution amid stable outlook for Asia-Pacific economic growth
07.12.2017 09:17 "Agro Perspectiva" (Kyiv) —
Deepening inequalities, domestic financial vulnerabilities and natural disasters induced by climate change may overshadow economic growth within the Asia-Pacific region, UN Radio says referring to the ESCAP (The Economic and Social Commission for Asia and the Pacific) year-end flagship report.
As to the report, the ESCAP highlights that domestic private consumption remains the main driver of economic growth, facilitated by factors such as relatively low inflation and low interest rates.
However, the report cautions that while the regional outlook for 2018 remains stable, private investment is weak within most countries, partly due to debt within the corporate and banking sectors of some major economies.
It is to be admitted, to achieve stable and sustained economic growth, ESCAP suggests that higher wages will be needed, supported by a «revival» of private investment.
Economic gains also could be threatened by emerging risks, including trade protectionism, geopolitical tensions, a tightening in global financing and recurring natural disasters, the report admits.