Further Integration to Yield Economic Gains in Asia in a Changing World, Says AMRO Chief Economist

2018-12-17T02:23:31+00:00March 1, 2018|Features|

Further Integration to Yield Economic Gains in Asia in a Changing World, Says AMRO Chief Economist

AMRO Chief Economist Dr Hoe Ee Khor (far right) exchanges views with other panelists and participants at the conference “New Growth Models in a Changing Landscape” in in Jakarta, Indonesia, on February 27, 2018.

JAKARTA, Indonesia, February 27, 2018 – Speaking at a high-level dialogue in Jakarta, Indonesia, on February 27, 2018, Dr Hoe Ee Khor, Chief Economist of the ASEAN+3 Macroeconomic Research Office (AMRO), shared his views on near-term growth for Asia and policy responses to longer-term challenges ranging from technology disruption to demographic headwinds.

Co-organized by Bank Indonesia (BI) and the International Monetary Fund (IMF), the conference themed “New Growth Models in a Changing Landscape” drew top names, with opening remarks delivered by IMF Managing Director Madame Christine Lagarde and BI Governor Mr. Agus Martowardojo; and panel speakers including senior policymakers from Asian economies, prominent academics and top-ranking representatives from international organizations and the private sector. The panellists discussed and exchanged views on the Asian region’s prospects for tackling long-term structural challenges and emerging stronger by taking targeted measures to boost economic competitiveness and address socioeconomic disruptions, furthering regional integration, and embracing globalization.

As a panellist in the discussion on “Responding to the Changes in a Global Landscape”, Dr Khor said that the synchronized reflation of the global economy has been a key driver of growth pick-up in Asia, and has enabled authorities in the region to take a step back from expansionary monetary- and fiscal policy. He highlighted that ASEAN economies have benefited from firmer intra-regional demand and FDI inflows, but cautioned that in a scenario of policy tightening across the U.S., Europe and Japan, the region’s resilience would be tested further.

Family photo of speakers and panelists.

On how the region could respond to longer-term challenges ranging from technology disruption to demographic changes, Dr Khor suggested that the region’s diversity meant extensive scope for further integration to yield economic gains. Looking ahead, bottom-up economic imperatives rather than top-down policies would likely drive the acceleration of intra-regional labour mobility. The services sector would be a key area benefiting from the digital technology, since it has become both an important enabler of manufacturing activity and a strong growth driver itself.

The event is part of the “Voyage to Indonesia” series of activities leading up to the 2018 World Bank/IMF Annual Meetings in Indonesia in October.