{
  "title": "Global Challenges Facing ASEAN and Policy Priorities",
  "publication": "IMF News, November 13, 2022",
  "sourceUrl": "https://www.imf.org/en/news/articles/2022/11/13/sp111322-md-global-challenges-facing-asean-and-policy-priorities",
  "canonical": "https://www.imf.org/en/news/articles/2022/11/13/sp111322-md-global-challenges-facing-asean-and-policy-priorities",
  "overlayPath": "/en/news/articles/2022/11/13/sp111322-md-global-challenges-facing-asean-and-policy-priorities/index.md",
  "summary": "Global Challenges Facing ASEAN and Policy Priorities",
  "authors": [
    "Managing Director Kristalina Georgieva"
  ],
  "publishDate": "2022-11-13",
  "sections": [
    {
      "heading": "Global economic outlook — shocks, growth, and risks",
      "content": "- In the last three years—a relatively short period of time—we have been hit by \"shock upon shock upon shock\": a global pandemic, a war in Europe, and a cost-of-living crisis.\n- These shocks led to supply chain interruptions and a very rapid increase of energy and food prices, creating stubbornly high inflation and tightening financial conditions.\n- Global growth trajectory:\n  - 6 percent in 2021\n  - 3.2 percent in 2022\n  - Projected 2.7 percent for 2023\n- Risk assessment:\n  - There is a 25 percent probability that growth may actually fall below 2 percent in 2023.\n- Strategic concern:\n  - A troubling trend toward increased fragmentation at a time when global cooperation is most needed."
    },
    {
      "heading": "ASEAN outlook — a relative bright spot",
      "content": "- Growth projections for ASEAN:\n  - 5 percent this year\n  - 4.7 percent next year\n- Reasons for stronger performance:\n  - Steady progress on reforms\n  - Tremendous integration of ASEAN economies\n- Caveat:\n  - ASEAN economies face scarring from the pandemic and the global slowdown; policies should account for this scarring and the broader global context."
    },
    {
      "heading": "Policy priorities — monetary, fiscal, and structural opportunities",
      "content": "- Monetary policy:\n  - Priority is to fight stubborn inflation.\n  - Central banks must tighten and do so until there is a tangible reduction in inflation.\n  - Major central banks, including the Fed, are expected to \"stay the course.\"\n  - Tighter policy regimes are not expected to be short-lived; countries need to consider this in their monetary and exchange rate policies, recognizing that the strong dollar accompanies high interest rates.\n- Fiscal policy:\n  - Fiscal support should be prudently directed to those who need help the most.\n  - Policy targeting is important because scarce public resources may be required for an extended period.\n- Structural and medium-term opportunities for ASEAN:\n  - Supply chain changes are creating new opportunities.\n  - Opportunities from the new green climate-resilient economy are available to be captured.\n  - Digitalization has already led to higher performance in the region, while carrying its own risks.\n- Strategic recommendation:\n  - ASEAN should play a key role in preventing fragmentation and encouraging global cooperation, leveraging its economic integration and reform progress.\n\nSource: Global Challenges Facing ASEAN and Policy Priorities, Kristalina Georgieva, November 13, 2022.\n\n---\n\n\n References\n\n- https://www.imf.org/en/about/senior-officials/bios/kristalina-georgieva\n- Cambodia and the IMF\n- Speeches\n- PRESS CENTER\n- https://www.imf.org/en/home\n\nSource: https://www.imf.org/en/news/articles/2022/11/13/sp111322-md-global-challenges-facing-asean-and-policy-priorities"
    }
  ],
  "bullets": [
    "[Markdown version](/en/news/articles/2022/11/13/sp111322-md-global-challenges-facing-asean-and-policy-priorities/index.md)",
    "[Structured JSON version](/en/news/articles/2022/11/13/sp111322-md-global-challenges-facing-asean-and-policy-priorities/index.json)",
    "[Bundle manifest](/en/news/articles/2022/11/13/sp111322-md-global-challenges-facing-asean-and-policy-priorities/bundle-manifest.json)",
    "Authors: Managing Director Kristalina Georgieva",
    "Published: November 13, 2022",
    "In the last three years—a relatively short period of time—we have been hit by \"shock upon shock upon shock\": a global pandemic, a war in Europe, and a cost-of-living crisis.",
    "These shocks led to supply chain interruptions and a very rapid increase of energy and food prices, creating stubbornly high inflation and tightening financial conditions.",
    "Global growth trajectory:",
    "Risk assessment:",
    "Strategic concern:",
    "Growth projections for ASEAN:",
    "Reasons for stronger performance:",
    "Caveat:",
    "Monetary policy:",
    "Fiscal policy:",
    "Structural and medium-term opportunities for ASEAN:",
    "Strategic recommendation:",
    "[https://www.imf.org/en/about/senior-officials/bios/kristalina-georgieva](https://www.imf.org/en/about/senior-officials/bios/kristalina-georgieva)",
    "[Cambodia and the IMF](http://www.imf.org/external/country/KHM/index.htm)",
    "[Speeches](https://www.imf.org/en/news/searchnews)",
    "[PRESS CENTER](http://presscenter.imf.org/)",
    "[https://www.imf.org/en/home](https://www.imf.org/en/home)"
  ],
  "alternates": {
    "markdown": "/en/news/articles/2022/11/13/sp111322-md-global-challenges-facing-asean-and-policy-priorities/index.md",
    "json": "/en/news/articles/2022/11/13/sp111322-md-global-challenges-facing-asean-and-policy-priorities/index.json",
    "bundleManifest": "/en/news/articles/2022/11/13/sp111322-md-global-challenges-facing-asean-and-policy-priorities/bundle-manifest.json"
  },
  "generatedAtUtc": "2026-09-26T01:38:24.495Z"
}