Improvements in developed economies set to boost Asia's growth: DBS chief

DBS chief executive Piyush Gupta has voiced optimism over Asia's growth this year.

He said Asia's domestic demand from a young and dynamic population continues to fuel growth in the region.

Despite some analysts predicting that developed markets would do better and overshadow emerging markets in 2014, Mr Gupta said this is not a zero sum game.

Instead, he pointed out that the improved economic performance of the United States and Europe would lift confidence in the global economy and boost growth in Asia.

He said at a DBS Private Bank event held at the Ritz-Carlton this afternoon that data coming out of the US is encouraging.

For one thing, gauges of consumption demand, a major driver of growth, have been revised upwards.

The threat of the US fiscal drag due to the impasse in Congress is also lower this year, said Mr Gupta.

Asia is also set to benefit from higher demand in Europe, which is expected to expand by up to 1 per cent, from a contraction last year.

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