Growth forecast slashed by ADB

CAMBODIA’S reliance on exports, tourism and foreign direct investment has led the Asian Development Bank to slash its 2009 growth projection for the country, even as it says developing Asia as a whole will lead the world’s emergence from its deepest recession since the 1930s.

The country’s economy will contract 1.5 percent this year, compared with a March estimate of 2.5 percent growth, the Manila-based institution said in a report Tuesday.

Asia, excluding Japan, will expand 3.9 percent, up from an earlier estimate of 3.4 percent, it said.

“A sharper-than-expected downturn in clothing exports, construction activity and tourism arrivals has prompted a downward revision in the GDP forecast [for Cambodia],” the ADB said in its Asian Development Outlook 2009 Update. Click to read more...