IMF RELEASES GLOBAL OUTLOOK 2015
THE PETERSON GROUP – JAKARTA, INDONESIA
Falling international oil prices reduce pressure on consumer prices. Inflation slows from 3.1% in 2014 to 2.6% in 2015.
Lower Oil Price Benefits Asian Consumers
Seeing that low oil charges are supporting progress in developing Asia, an unexpected sharp reversal might weaken the outlook and need policy response. Similarly, while the region’s capital inflows have been helpful for growth, policy maker sought to carefully control credit expansion in order that it does not bring about excessive leverage and asset price bubbles.
To maintain its growth, developing Asia needs a deep and robust financial sector. Policy makers are going to be challenged to make sure that the financial sector development is inclusive, giving broad access to families and companies. Financial stability should even be maintained to boost growth and equity.