Page 7 - Policy Economic Report - November 2024

POLICY AND ECONOMIC REPORT
OIL & GAS MARKET

Figure 2: Contributions to GDP growth

Source- IMF

• Growth in emerging Asia excluding China has remained broad-based. Both exports—especially for
technology products—and domestic demand underpinned activity. Many emerging market
economies are also benefiting from a recovery in tourism from China. In India, strong growth has
been driven by investment and private consumption.

GDP growth Outlook: - According to IMF, the global GDP growth is subject to sizable economic and
geopolitical uncertainties. The growth outlook for advanced & emerging market economies are as below:

Advanced Asia Economies

Growth in advanced Asia is forecast to slow to 1.6 percent in 2024 from 2.0 percent in 2023, but to recover
to 1.9 percent in 2025 as domestic demand strengthens.

• Japan’s 2024 growth forecast has been revised down to 0.3 percent—a shift of -0.6 percentage
point relative to April, due in part to temporary supply disruptions. Growth is expected to recover
to 1.1 percent in 2025, as robust real wage growth supports private consumption.

• Korea and other advanced Asian economies are benefiting from strong global demand for
technology products. Korea’s 2024 growth projection has been marked up by 0.2 percentage
point relative to April to 2.5 percent. A slightly lower growth rate at 2.2 percent is expected for
2025, amid gradual rebalancing from external to domestic demand.

• In Australia and New Zealand, headwinds from tight monetary policy stances are weighing on
growth. Australia’s 2024 growth rate has been marked down by 0.3 percentage point relative to
April to 1.2 percent, while growth in New Zealand is projected to stall. In 2025, private demand is
expected to firm as real income growth strengthens.

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