Asia-Pacific Trade and Investment Report 2010

Recent Trends and Developments

image of Asia-Pacific Trade and Investment Report 2010
This report identifies the challenges and opportunities for trade and investment in the Asia-Pacific region concluding that with the right policies and strengthened regional cooperation, the region will be able to continue strong trade and investment-led growth. With the continued stalling of the international Doha Round of negotiations, regional trade agreements remain an important approach to controlling protectionism. A fresh look at the rules under these agreements is recommended. The report emphasizes that governments need to step up efforts to improve the environment for business and investment.




When the first Asia-Pacific Trade and Investment Report 2009 was prepared, the global economic crisis was spreading around the globe and affecting the Asia-Pacific region. Despite reporting a sharp contraction of trade flows from the region to the world and also intraregionally, the 2009 Report ended on a cautiously optimistic note, referring to the first signals of a rebound in trade flows, for both the region and the world as a whole. Nevertheless, it contained warnings about the volatility in commodity and financial markets and the sustainability of the recovery packages adopted by various countries around the world to jump-start growth during the crisis months. The most recent available data for 2009 and the first half of 2010 (cf. IMF, 2010a and 2010d), however, show a recovery of output and trade in most Asian economies to pre-crisis levels. These results allow an upward revision of the gross domestic product (GDP) growth forecast for Asia in 2010 by half a percentage point to 7.5%, with the expectation of more moderate growth in 2011 at about 6.74% (IMF, 2010b).


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