Five Asian countries are set to dominate the global economy starting next year, a new research note revealed. These countries are the Philippines, Bangladesh, Myanmar, and Vietnam.
According to Bloomberg, the research note released by Standard Chartered's Madhur Jha, Head of Thematic Research, and David Mann, Global Chief Economist, indicated that the mentioned countries are expected to reach a growth rate of seven percent during the 2020s.
Vietnam has the highest expected rate as economists believe the country can hit $10,400 in per-capita income by 2030. The numbers are more than double the $2,500 per-capita income recorded last year.
The Philippine economy follows at second place, with economic analysts expecting the country to reach per-capita incomes at $6,900. Bangladesh is in third place, with expectations of $5,700, and India is at the fourth spot, with $5,400.
Myanmar is in fifth place but economists are still optimistic of the expected $4,800 expansion in per-capita income by the next decade.
The Standard Chartered Bank said Asian economies can reach economic growth expectations through a boost in exports. A real-estate rebound may also help spur growth in the countries, researchers said.
Manufacturing reforms that target industrialization in the export sector are also expected to help propel Asian economies to greater development in the local economy. Finally, 20-25 percent of gross domestic product (GDP) investment and savings rates are also believed to be driving forces in the region's economic expansion.
Meanwhile, other Asian countries that didn't make it into the 7 Percent Club will still stay afloat, earlier studies suggested. Stronger domestic demand in a number of sectors will help drive the economic growth rate of China and other East Asian nations to above six percent.
Over the last two years, consumption and investment have allowed the Asian region's economic growth to cool down. While China and Indonesia saw a boost, Singapore, South Korea, and Malaysia saw a decline in investments.
Earlier this month, the Asian Development Bank (ADB) also predicted that Asian economies will keep growing "in a very steady way" despite global trade disputes and internal headwinds that could beat local markets.
According to CNBC News, ADB President Takehiko Nakao said the Asian economy is expected to expand by 5.7 percent this year as consumption levels rise and investments from other countries pour in.
The ADB's overall growth forecast of the Asian economy sits at 5.6 percent next year but other economic experts are still positive of growth in the 7 Percent Club members' capabilities in driving growth.
