Reluctant emerging Asia central banks could delay rate hikes until 2022
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Last Updated: Apr 27, 2021, 12:14 PM IST
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All eight emerging Asian economies are seen holding benchmark interest rates steady through 2021, according to the median forecasts from Bloomberg surveys of economists.
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By Michelle Jamrisko and Chester Yung
Emerging Asia’s central banks are expected to opt for supporting their economic recoveries rather than tackling volatile price swings this year.
All eight emerging Asian economies, including India and Indonesia, are seen holding benchmark interest rates steady through 2021, according to the median forecasts from Bloomberg surveys of economists.
Higher real interest rates will allow some of Asia’s central banks to stand pat, while for others a recent pick-up in inflation is set to moderate. Much depends on the path of global interest rates, and the Federal Reserve’s meeting this week will be keenly watched by
Reluctant Emerging Asia Could Delay Rate Hikes Until 2022 bloombergquint.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from bloombergquint.com Daily Mail and Mail on Sunday newspapers.
Singapore’s MAS Holds Policy Stance While Softening Dovish Tone
Bloomberg 1 day ago Michelle Jamrisko
(Bloomberg) Singapore’s central bank kept its main monetary settings unchanged, while signaling a slightly less dovish tone going forward as it cautiously eyes a brighter recovery from the pandemic.
While repeating its previous guidance that “that an accommodative policy stance remains appropriate,” the Monetary Authority of Singapore statement dropped the phrase “for some time.” It also said it expects economic growth to outpace its earlier expectations and noted a gradual pick-up in inflation.
The MAS, which manages the exchange rate of the local dollar as its main monetary tool, held the slope, width and center of its currency band unchanged Wednesday, as expected in a Bloomberg survey. The slope is currently 0%, a policy that implies the MAS isn’t seeking currency appreciation, which it implemented at the outset of the pandemic last year.
Bank Indonesia Holds Rates, Pledges More Support for Rupiah msn.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from msn.com Daily Mail and Mail on Sunday newspapers.
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The U.S. and China are pursuing divergent economic policies in the aftermath of the coronavirus recession in a role reversal from last time the world economy was recovering from a shock.
One of the takeaways from the annual National Peopleâs Congress under way in Beijing is a conservative growth goal, with a tighter fiscal-deficit target and restrained monetary settings. Thatâs a big contrast with Washington, where President Joe Biden is preparing a second major fiscal package after he gets final approval for his US$1.9 trillion stimulus.