Asia’s Economy Outlook 2023

The Asian economy is expected to recover in 2023 as industrial activity and services continue to improve and consumption is set to increase thanks to the easing of COVID-19-related restrictions and the reopening of borders.

According to the estimates of the International Monetary Fund published in October 2022, the global growth forecast for 2023 is 2.7%, and the recovery will be driven by Asia, with an aggregate growth of 4.3%.

As for China and India, growth is expected to be 4.4% and 6.1%, respectively in 2023. Among advanced economies on the Asian continent, Japan will see its GDP increase by 1.6%, Singapore by 2.3%, while South Korea expects a 2% growth in 2023. The ten members of the ASEAN bloc are expected to grow by 4.7% in 2023, led by Vietnam (+6.2%), Cambodia (6.2%), Indonesia (+5%), and Philippines (+5%).

In its updated Asia-Pacific Economic Outlook of October 2022, the World Bank projects that the region's economies will grow by 4.6 percent in 2023.

China, which constitutes 86% of the region's economic volume, is projected to grow by 4.5% in 2023. For the largest five ASEAN economies (Indonesia, Malaysia, Philippines, Thailand, and Vietnam), the growth is projected at 5.1% in 2023. Individually the projections are: Vietnam at 6.7%, the Philippines at 5.8%, Indonesia stable at 5.1%, Malaysia at 4.2%, and Thailand at 4.1%.