Asean inflation seen at 10-Year High in 2022 as demand recovers

Commuters travel over a flyover from Bonifacio Global City, Metro Manila, the Philippines. Inflation in South-East Asian economies is set to hit its highest level in a decade next year, according to the Bank Of America. - Bloomberg

MANILA, Dec 11 (Bloomberg): Inflation in South-East Asian economies is set to hit its highest level in a decade next year, setting the stage for the start of monetary-policy tightening across the region, according to Bank of America.

Higher energy prices and a recovery in domestic demand and employment will drive inflation to an average of 2.7% in 2022, up from an estimated 2.2% this year, BofA Securities Asean economist Faiz Nagutha said in a media briefing recently.