Domestic demand spurs Asia growth
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Domestic demand continues to spur Asia's economic growth on the backdrop of slowing external demand and uncertainties in the financial markets.
Dr Zeti Akhtar Aziz, governor of Malaysia’s central bank – Bank Negara – said the growing importance of domestic demand in Asia was creating a huge cumulative domestic market and a case for greater regional integration.
“Greater regional and intra-regional integration of emerging economies through the proliferation of interlocking networks of trade, investment and finance, have contributed to support economic activity in the emerging economies,” Zeti said.
She added the decline in external demand from the advanced economies had been partially offset by stronger domestic demand to spur economic activities in Malaysia.
This was due to the robust resumption of private consumption and investment activities and the diversification of exports to the regional economies in new product segments, she said.
