Challenges of East Asia’s Economic Growth due to Europe Debt Crisis

On 06 December 2011, Asian Development Bank has trimmed its 2012 growth forecast for emerging East Asian economies including China, as the euro zone crisis threatens to further slow an already weakening global economy. The Manila-based ADB cuts its gross domestic product (GDP) forecast to 7.2 % for the 10 ASEAN member countries plus China, Hong Kong, South Korea and Taiwan from 7.5 % in September.  It also mapped out an "extreme scenario" of European and US meltdowns, which could shave 1.2% off growth next year in East Asia including Japan, from a forecast 5.4% to 4.2%. (Rasmei Kam.)