Asia will lead in 2010 to recover economy

Asia ex-Japan will lead the global economic recovery with impressive growths in 2010 , with China and India in the spotlight, economists has said. International wealth management firm Invesco said on Wednesday it expected a growth of 7.4 percent for Asia- Pacific in 2010 , compared with 2.2 percent for the United States, 1.2 percent for the U.K. and 1.2 percent for the euro zone The Asia-Pacific refers to economies such as China, India, the four newly industrialized economies and the southeast Asian economies of Indonesia, Malaysia, the Philippines and Thailand. "I expect overall gross domestic product growth for the Asia ex- Japan region of about 4 percent to 5 percent, with China still leading the pack in 2010 ," Invesco Chief Economist John Greenwood said in Hong Kong. In Asia, the possibility of a second downturn is remote, he said. "Asia is in very good shape because of ... the health of the balance sheets ... good income growth," he said, adding that consumption will be strong in China. Invesco projected a growth of 9.4 percent for the Chinese economy in 2010 and 7.5 percent for India. Greenwood said the recoveries in the developed world are modest and fragile. The key question for 2010 would be whether the recovery in the household and private sectors will be strong enough to enable the central banks to exit from the stimulus plans without harming nascent recovery. The stories are different for the developed and the emerging economies, given that the process of balance sheet repair has just begun in the U.S. and U.K. "Balance sheet repair is a prolonged process. It cannot happen quickly," he said, adding that balance sheet repair process in the U.K. after the housing boom of the late 1980 s lasted for more than half of the following decade.

Businessmen belive Bangladeshi PM India visit is successfull

Leaders of the business community have termed Prime Minister Sheikh Hasina's recent visit to India as 'very successful' and said the visit has opened up a new horizon of possibilities. This visit has created trust and confidence in bilateral relations removing mistrust and suspicion, they said and stressed the need for making good use of the possibilities created by the Prime Minister' s visit. The business leader thinks that duty-free access of 47 more Bangladeshi products to the Indian market would create a big opportunity for the country. They said the decision to allow India to use Chittagong and Mongla seaports would enhance development and capacity of the ports along with the country's economic prosperity. They also welcomed the decision to introduce border trade or 'shimanto haat' between the two countries. Federation of Bangladesh Chamber of Commerce and Industry (FBCCI) President Annisul Haq said the Prime Minister visit has created adequate scopes to realize trade facilities from the Indian market. Now the country would have to develop capability to utilise the scopes. He said infrastructure facilities would have to be enhanced to provide the neighbouring countries with port facilities. The apex trade body chief hoped that India would invest in power, infrastructure and large industry in Bangladesh and take initiative to reduce trade gap as promised during the Prime Minister's visit. Bangladesh Garments Manufacturers and Exporters Association (BGMEA) President Abdus Salam Murshedi said the Prime Minister's India visit was very significant to resolve outstanding issues between the two countries. This visit has removed psychological barriers and opened up a new chapter in bilateral relations, he added. He said Bangladesh-India trade would expand and Bangladesh would be able to draw the attention of the world community, if the scopes created by the Prime Minister's visit can be utilised. The BGMEA chief welcomed the decision to give duty-free access of 47 products to the Indian market. FBCCI Senior Vice-President Abul Qashem appreciated the decision to introduce border trade with India. He also said the decision to import power from India is a positive step.