The Asian Development Bank lowered its growth forecast for developing Asia for this year and next, amid a sharp slowdown in global growth, increased inflationary pressures and monetary tightening, the war in Ukraine, and a Covid-19 lockdown in China.
The Manila, Philippines-based lender expects developing Asia to grow 4.3 percent, which is slower than the 5.2 percent forecast in April.
Likewise, the ADB lowered the growth projection for next year to 4.9 percent from 5.3 percent, in the latest update to its Asia Development Outlook report.
Developing Asia has a lower inflation rate than the rest of the world but price pressures are increasing due to rising energy and food costs, the ADB report said.
Under this scenario, the regional inflation forecast is raised to 4.5 percent for this year and 4.0 percent for next year, the ADB said.
