The Asian Development Bank said Wednesday that economic growth in developing and newly industrialized Asian economies will rebound to 7.3 percent in 2021 despite the continued shocks of the coronavirus pandemic.
In its Asian Development Outlook 2021 report, the Manila-based multilateral bank expressed optimism that growth in "developing Asia" -- a grouping of 45 economies which excludes Japan, Australia and New Zealand -- will be supported by a healthy global recovery and progress on the rollout of vaccines.
"Assuming that renewed COVID-19 outbreaks are brought under control, domestic demand and economic activity will continue to strengthen this year and next," the report said, noting that exports of electronics and products related to COVID-19, such as personal protective equipment, have already driven initial recovery in the region.
The ADB report also cited a decline in unemployment in varying degrees across economies, as well as a slight slowdown in headline inflation.
This year's rebound from the pandemic-induced slump is expected to be driven largely by recoveries in China and India, the two largest economies in the group, which are forecasted to grow by 8.1 percent and 11 percent, respectively.
Before the economic contraction of 0.2 percent in 2020, the year the pandemic hit, growth in developing Asia has seen a series of slowdowns over the last few years since 2017.