15 Most Respected Countries in Asia

Afifa Mushtaque
9 min read

In This Article:

In this article, we will look at the 15 most respected countries in Asia. We have also looked at the ongoing and predicted economic growth of the Asian market. If you want to skip our detailed analysis, head straight to the 5 Most Respected Countries in Asia. 

Globally, the IMF projects a resilient growth rate of 3.1% for 2024 which is consistent with the previous year, although still below the historical average. Notably, inflation is expected to decline from 6.8% in 2023 to 4.4% in 2025. Turning to Asia, the region is on track to contribute two-thirds to global growth in 2024, with upward revisions in growth estimates for both 2023 (4.7%) and 2024 (4.5%), driven by factors such as policy stimulus and a supportive external environment.

However, regional variations persist, as Japan's growth is slowing from 2% in 2023 to about 1% in 2024, while India maintains strong growth at 6.5% in both 2024 and 2025. The inflation outlook in Asia is generally positive, with average inflation in the region falling from 3.8% in 2022 to 2.6% in 2023. China is facing concerns about deflation as it recorded inflation of only 0.3% in 2023, while Japan is expected to experience a slowdown but remain above the 2% inflation target until 2025. 

South Asia's economic trajectory, outlined in the World Bank's latest update, reveals a noteworthy growth rate of just under 6 percent, outpacing other regions. However, despite this positive trend, achieving high-income status within a generation remains a formidable challenge. The region's average potential growth hovers around 5 percent, falling short of the necessary 8 percent or higher required for rapid convergence with high-income countries by 2050. Private investment, a critical driver for such acceleration, has been uneven across South Asian nations, with some experiencing negative or stagnant growth while others, like India and Bangladesh, have witnessed robust expansion, albeit with potential challenges in sustaining public investment growth.

Furthermore, fiscal vulnerabilities persist, as all South Asian countries grapple with persistently large fiscal deficits, resulting in accelerated government debt burdens since 2010. Additionally, the region stands as the most vulnerable among Emerging Market and Developing Economies (EMDE) to climate risks, with a significant population exposed to natural disasters in the past decade. Addressing these challenges demands a multifaceted approach, including fostering private investment, fortifying fiscal positions, and developing resilience to climate risks for sustained and cleaner growth in South Asia.

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