ADB warns against threat of rising protectionism
In a new report released Tuesday, the Manila-based bank said that strengthening trade linkages and attracting foreign direct investment (FDI) will contribute to Asia and the Pacific's growth and help improve resilience to emerging protectionism.
The report titled Asian Economic Integration Report 2016 examined current trends in trade, finance, migration, remittances, and other regional cooperation and integration issues, with a special chapter on the factors behind the growth of FDIs in the region.
Juzhong Zhuang, ADB's deputy chief economist, said trade and FDI have been key drivers of growth and prosperity in Asia and the Pacific region.
"The region should guard against the threat of rising protectionism and make concerted efforts to push for freer trade and better investment politics to preserve the region's growth momentum," Zhuang said.
The report noted that the anemic global economic recovery continues to weight on the region's trade growth, which continues to decelerate.
Last year, the report noted that trade growth in Asia slowed to 2.3 percent in 2015, or below the global average of 2.7 percent. ■