Asia-Pacific economies seem to be weathering the impact of high interest rates, weak global demand and other headwinds rather well, the IMF says as it upgrades its growth forecast for the region.“With rapid disinflation and resilient growth,

Economic growth is likely to slow in the Asia-Pacific region this year as a result of ageing populations and lower productivity, the International Monetary Fund (IMF) says in its latest regional economic outlook report. The region grew by 5% last year, but is expected to slow to 4.5% in 2024. Growth next year will drop to 4.3%, the fund predicts.

The International Monetary Fund boosted its growth forecast for Asia this year, reflecting a rosier outlook for the region’s two largest economies and flagging a possible upward revision in its outlook for China.

The upward revision reflects upgrades for China, the IMF said, where it expects policy stimulus to provide support.

Furthermore, the IMF has raised its growth forecast for India's FY24 to 7.8 per cent, outstripping the government's projections. Looking ahead, the IMF maintains its forecast for India's FY25 growth at 4.

The IMF recently revised India’s growth forecast upward to 6.8% from 6.5% projected in its January forecast. The fund also revised India’s FY24 growth outlook upward to 7.8%, higher than the government’s projection of 7.