Dimming South-East Asia growth outlook adds to risks for China

JAKARTA: China’s slowing economic growth is denting demand for goods and natural resources from South-East Asia which, in turn, is hitting demand for Chinese exports in the Asean region, the biggest market for China outside the United States and Europe.

This loop effect has dimmed prospects for a second-half recovery across South-East Asia, with currencies at multi-year lows and depressed stock markets squeezing income and investment. It also complicates China’s efforts to revive growth in its economy, the world’s second-largest.