House prices in the countries and cities once known as Asian Tigers have surged. What will that mean for growth in 2023? WorldAhead
By Mike Bird: Asia business and finance editor, The Economist, Singaporebig brother, the colossal housing market in mainland China tends to absorb most of the attention when it comes to the risk of property-related blow-ups in Asia. But excesses in other parts of the region—particularly its most impressive economic success stories—should also spark serious concern.
Rock-bottom global interest rates have helped drive price rises. Most banks in Europe and America were hobbled for years by the financial crisis of 2007-09, while many in East Asia were far less affected. Rapid Chinese growth also helped the country’s neighbours grow more rapidly in the years that followed.
But the forces that drove housing booms in East Asia are abating, and rapidly so. Inflation is rising in Asia, though to lower levels than in much of the West. Hong Kong, South Korea and Taiwan, all have currencies either pegged to the dollar directly, or carefully managed by the central bank. Interest rates have been raised rapidly by the region’s central banks and monetary authorities, to keep in step with the Federal Reserve’s own rapid increases.
Some countries are also losing one of their lines of defence against financial threats. Both South Korea and Taiwan, with their exports of semiconductors, electronics and industrial goods, typically boast large current-account surpluses. But the surging price of imported energy has erased those surpluses.
Danmark Seneste Nyt, Danmark Overskrifter
Similar News:Du kan også læse nyheder, der ligner denne, som vi har indsamlet fra andre nyhedskilder.
Head of Intel Foundry Services resigns just as it gets goingRandhir Thakur led Intel’s big bet to take on Asian foundry giants TSMC and Samsung
Læs mere »
Keir Starmer's plans to abolish the House of Lords may well backfireKeir Starmer's plans to abolish the House of Lords may well backfire 🔵 While some reform of the Lords is urgently needed, there’s a real risk of throwing the baby out with the bathwater ✍️ paulwaugh for ipaperviews
Læs mere »
David Tennant trolls son Ty Tennant at House of the Dragon appearanceA family that trolls together, stays together.
Læs mere »
7 Dogs Killed in Pepperell House Fire, Chief SaysTwo people taken to the hospital and seven dogs were killed after a fire broke out at a home in Pepperell, Massachusetts Sunday night, according to fire officials there. Emergency crews got 911 calls for the fire on Mill Street after 8 p.m. Sunday, and police and medical first responders arrived to find two people from the basement and first…
Læs mere »
Chorley hotel closes and takes Government cash to house asylum seekersA Chorley hotel has closed to the public after it struck a deal with the Government to house asylum seekers.
Læs mere »
Floral tributes left outside scene of fatal Clifton house fireA man from Clifton has been arrested on suspicion of murder and attempted murder
Læs mere »