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The Financial Express

China's economic rebound good news for Southeast Asian nations, says economist

| Updated: July 21, 2020 10:41:54


China's economic rebound good news for Southeast Asian nations, says economist

China's economic growth is likely to benefit Southeast Asian nations as the country commands a "lion's share" of regional exports, CNBC quoted an economist as saying on Thursday.

Wellian Wiranto, an economist at OCBC Bank, said, "The fact that China commands a lion's share of ASEAN exports ... takes on extra importance now," referring to the Association of Southeast Asian Nations (ASEAN), according to the report.

China's gross domestic product expanded by 3.2 per cent year-on-year in the second quarter, following a 6.8-per cent contraction in the first quarter, the newly released data from the National Bureau of Statistics showed.

"While numerous challenges remain, the uptick would rekindle hopes that China's economy can help to pull others along," Wiranto said.

Southeast Asian nations ship 18.8 per cent of their exports to China, the economist said, noting that although China's post-pandemic recovery will not "save the day" for these countries, it will make a slight difference considering that other export destinations such as the United States remain working to control the COVID-19 pandemic.

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