In this July 2022 quarterly update, AMRO shaves down its short-term growth forecast for the ASEAN+3 region to reflect the impact of the recent COVID-19 outbreak in China and stronger headwinds arising from the war in Ukraine and tighter global financial conditions.

AMRO forecasts that the ASEAN+3 region will grow by 4.3 percent this year, slightly lower than its previous forecast. AMRO raises its 2022 inflation forecast for the region to 5.2 percent, up by 1.7 percentage points from April. Growth is expected to strengthen to 4.9 percent in 2023, and inflation is projected to moderate to 2.8 percent.