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IMF Cuts Asia’s 2025-26 Econ Growth Forecasts, Sees Room for Monetary Easing in Many Asian Countries
Krishna Srinivasan, Director of the Asia and Pacific Department, announced that Asia’s economic growth forecasts for 2025 and 2026 were lowered to 3.9% and 4%, respectively, ...
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IMF Cuts Asia’s 2025-26 Econ Growth Forecasts, Sees Room for Monetary Easing in Many Asian Countries
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Krishna Srinivasan, Director of the Asia and Pacific Department, announced that Asia’s economic growth forecasts for 2025 and 2026 were lowered to 3.9% and 4%, respectively, sharply down from 4.6% in 2024, given the region’s export-driven economies.

He noted that Asia is particularly vulnerable to trade policy shocks, as many economies are highly open to trade and integral to global supply chains.

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However, with inflation mostly at or below targets, many countries have room to loosen monetary policy to address the impact of U.S. tariffs.

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