The economic implications of lockdown in Emerging Asia
By Kensuke Tanaka, Head of Asia Desk, OECD Development Centre and Mario Pezzini, former Director, OECD Development Centre and Special Advisor to the OECD Secretary General on Development
This blog is part of a series on tackling COVID-19 in developing countries. Visit the OECD dedicated page to access the OECD’s data, analysis and recommendations on the health, economic, financial and societal impacts of COVID-19 worldwide.
First detected in China, COVID-19 has spread rapidly to other countries, infecting more than 2 million people worldwide and killing more than 127,000 to date (14 April). From mid-March, Southeast Asian countries started to see their number of cases climb (Figures 1 and 2). As of 14 April, India confirmed over 11,000 cases, though the sharp increase can partly be attributed to more testing. Malaysia and Indonesia each surpassed the bar of 4,800 confirmed cases, while the Philippines has counted over 5,200 as of the same date. The rapid evolution of the disease has prompted authorities to announce various measures including putting entire cities and countries into lockdown to stop the virus. As early as January in China and March elsewhere, many Emerging Asian countries have imposed local or even nationwide lockdown and curfew measures (Table 1), with varying durations, geographical coverage, and scope. Lockdown measures contribute to containing the spread of the virus, but they also prevent economic activities that would otherwise take place. As the debate in countries turns to when and how to end a lockdown and restart the economy, the health and economic implications of lockdown measures need to be considered carefully.
Continue reading “The economic implications of lockdown in Emerging Asia”
Bangladesh is preparing to 
Agreeing on the need for new infrastructure is one thing; finding a sustainable way to finance it is another. According to the ADB, an estimated USD 26 trillion (or USD 1.7 trillion per year) will need to be invested in infrastructure in its developing member countries
Strong growth – averaging 6.2% per year – is expected in Emerging Asia (Southeast Asia, China and India) over 2017-21, though trends vary across the region. While growth in China is projected to continue slowing, it will still average 6.0% over the medium term, below the 6.7% forecast for 2016. India, on the other hand, will average 7.3% annual growth in the years to 2021. The ten ASEAN member countries together are forecast to average growth of 5.1%, led by the CLM countries (Cambodia, Lao PDR and Myanmar), which will all see annual growth rates above 7%. Amongst the large ASEAN-5 economies, the highest growth rates are projected for Viet Nam (6.2%) and the Philippines (6.1%) over 2017-21. Singapore and Brunei Darussalam are both expected to see growth of 1.8% in the medium term. Private consumption is expected to continue to be an important driver of growth across much of the region, particularly with slow export growth (Figure 1): 
