Wednesday, December 3, 2008

Global economy slowing predicted

Internatinal Monetary Fund (IMF) estimates the global economic growth will be slowed 4.1 percent. This figure is down from the previous estimation of 4.9 percent. Melambatnya economic growth is, among other reasons influenced by the turbulent financial and credit crisis jammed mortgage housing (sub-prime mortgage), which causes the loss of several large banks on the board.

Economic growth adikuasa some countries, such as the United States, also is expected to be slowed. Economics is only in the United States will grow 1.5 percent in 2008, down compared to 2.2 percent the previous year. In a note published in January, the IMF also estimates the European economy this year will grow only 1.3 percent, lower than the predicted 1.6 percent the previous year.

The same occurred in Asian countries. Japanese economic growth is estimated to be only 1.5 percent, down from 0.2 percent predicted in October last year. Meanwhile, for India and China, which has for the impressive economic growth in Asia is estimated to designate also slowed. Indian economy to grow this year 6.9 percent, down compared to 2007, namely 7.8 percent. Similarly with China, which will only grow 10 percent, lower than last year's 11.4 percent.

For developing countries, the average growth of 6.9 percent. This figure is lower than 2007, namely 7.8 percent. According to the IMF, economic growth in developing countries, which are influenced by the flow of capital from overseas, fell the impact will likely be affected. In addition, a number of other risk is estimated to be increased. Monetary policy faced a difficult choice, namely between the inflation and economic pelambatan.

However, the IMF projected a little different with Deutsche Bank. German bank this estimate economic growth will be more than 6.5 percent. In addition, the stock market will move developing countries are positive despite the global economic pelambatan. "The policy the central bank will melonggar to anticipate the oil price shock, inflation, housing and credit problems. The most benefit from the stock market," said Chief Investment Officer of Deutsche Bank Asia-Soon Gek Chew in Jakarta yesterday.

Currently, the market shares to give developing countries the benefits higher than developed countries. In 2007 China ranks first with 96.6 percent, followed by India 73.1 percent, 54.1 percent and Indonesia. Meanwhile, the level of European market share is only 14.4 percent, S & P's 5.5 percent, and Japan's minus 4.1 percent. "Investment in the stock market is still a developing country also had the great considering the real interest rate (the interest rate reduced inflation) is still low, likuiditasnya high, and valuasinya interesting," said Soon-Gek.

In addition to the stock market, Soon-Gek recommend that global investors to invest in agriculture, gold, and Hedge fund. "We have a positive outlook on agricultural commodities because of population and income will be increased global population, limited agricultural land start triggering the demand of protein," he said.

Finance Minister Sri Mulyani Indrawati pelambatan recognize the inevitable result of economic recession that the United States. "Yes, indeed a global recession is estimated to fall," said Sri Mulyani after the signing of cooperation including funding of 10 thousand megawatt of electricity with the Export Import Bank of China Ministry of Finance yesterday

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