ADB Revises Southeast Asia's 2022 Economic Growth to 5%, Indonesia's Economy Predicted to Increase

The Asian Development Bank (ADB) revised its economic growth forecast for six Southeast Asian countries. In its *Asian Development Outlook Supplement* released on Thursday, July 21, 2022, the ADB raised its Southeast Asian economic growth forecast to 5%, higher than the previous projection of 4.9% in April.

The ADB stated that the increased economic growth in Southeast Asia was driven by rising domestic demand resulting from the easing of social restrictions in several economies, including Indonesia.

Of the six Southeast Asian countries, only Indonesia and the Philippines saw upward revisions in their economic growth forecasts. Three other countries experienced downward revisions, while one remained unchanged.

Indonesia's economy is now projected to grow at a higher rate of 5.2% this year, compared to the previous forecast of 5%. Similarly, the Philippines' economy is expected to grow at a faster rate of 6.5%, up from the previous forecast of 6%.

Meanwhile, Malaysia's economy is projected to grow at a slower rate of 5.8% this year, down from the previous forecast of 6%. Singapore's economy is predicted to slow to 3.9% growth, compared to the previous forecast of 4.3%. Thailand's economy is also expected to slow slightly to 2.9%, down from the previous forecast of 3%.

Vietnam's economy is still projected to grow at 6.5%, unchanged from the previous prediction.