On Monday, rating agency S&P Global Ratings also projected the India economy to contract by 9% while last week Fitch Ratings and Moody's Investors Service cut their GDP estimates for FY21 to contraction of 14.8% and 11.5% respectively, while investment bank Goldman Sachs sees GDP to shrink by 10.5% during the financial year.
ADB further predicts that inflation is expected to fall in the remainder of FY2020 to 4.5 percent with tamed food prices and decreased economic activity, and then further decline to 4.0 percent in FY2021.
ADB said India's growth outlook remains highly vulnerable to either a prolonged outbreak or a resurgence of cases, with the country now having one of the highest number of covid-19 cases globally.
China, where the virus first emerged late previous year before developing into a pandemic that has infected more than 29 million people worldwide, is one of the few economies in the region to expand.
THE Asian Development Bank (ADB) on Tuesday downgraded its 2020 Philippine economic growth forecast to -7.3 percent from -3.8 percent due to the impact of the coronavirus disease. To mitigate the risk, governments in the region have delivered wide-ranging policy responses, including policy support packages-mainly income support-amounting to $3.6 trillion, equivalent to about 15% of regional GDP.
ADB Country Director Manmohan Parkash said that recent economic performance in exports and remittances, and government's macroeconomic management including securing foreign funds for economic stimulus and social protection measures have made this recovery feasible.
While the pandemic remains the biggest downside risk to the region's outlook, Sawada said in a separate media briefing "worsening geopolitical tensions" that include the trade and tech war between US and Beijing, could also dent growth.
Vietnam is expected to grow 1.8 percent in 2020 and accelerate to 6.3 percent in 2021. Forecasts recommend that nearly all of creating Asia will recuperate subsequent 12 months, aside from some economies within the Pacific. Some economies heavily reliant on trade and tourism, particularly in the Pacific and South Asia, face double-digit contractions this year.
Bangladesh will grow 5.2 percent, Bhutan 2.3 percent and Nepal 2.3 percent.
The replace to ADO 2020 incorporates a theme chapter "Wellness in Worrying Times" which discusses the significance of wellness as communities recuperate from Covid-19's toll on bodily and psychological well being.
The chapter explains that wellness may be an engine of inclusive financial development if the area leverages its wealthy wellness traditions and acceptable insurance policies are promoted by governments.
ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty.