Asia Economic Research and Investment Reports

Asia

Having learned the lessons of the 1997-98 financial crisis, Asia has since enjoyed a period of steady growth driven by consumption, investment and exports. The traditional model of low-cost manufacturing and exports to advanced markets has gradually been replaced with a more domestic-consumer-oriented approach. 

Despite its vast diversity and cultural differences, Asia shares a common vision of maintaining macroeconomic stability, low inflation and a conservative approach to finance.  Although still largely sensitive to Chinese demand, a number of Asian countries, especially in South-east Asia, have developed new sources of growth, primarily in services and more technology-focused sectors. The biggest challenge facing all of Asia is underinvestment in health and education. Income inequality, exacerbated by relatively limited welfare systems, remains one of the key sources of social tension in the 21st century. Over the last 8 years OBG’s focus in the region has been on new opportunities in frontier markets such as Mongolia as well as the non-BRIC nations of South-east Asia. Whilst the Asian economic development model has placed emphasis on trade and manufacturing, there are significant differences in each country’s growth path and relative strengths and weaknesses. OBG has been tracking the emergence of new sectors such as banking, tourism, research and innovation, with particular focus on regional cooperation and cross-border investments.

 

OBG & Asia