AEIR 2021

Continued rehabilitation and recovery from Cyclone Gita boosted economic growth to 3.0% in 2019 from 0.2% in 2018. Stronger consumption contributed on the demand side despite delays in the rollout of major construction projects. On the supply side, growth in fishing and agriculture were weak, but services, centered on tourism, remained robust. Inflation slowed to 4.1% from 7.0%; the fiscal surplus narrowed; and external debt fell to 34.1% of GDP. The current account deficit equaled 6.8% of GDP in 2019, mainly due to a 15.7% rise in the merchandise trade deficit. Pandemic-related transport and travel restrictions will leave zero GDP growth in 2020. But the gradual recovery in tourism and faster post-cyclone reconstruction will boost economic growth to 2.5% in 2021.

Source: Asian Development Outlook 2020, ADB
Latest Month-Ago Year-Ago
Headline Inflation Rate 1 6.5 (Sep18)5.7 5.7
Merchandise Export Growth 1 -80.7 (Nov20)-80.7 -32.7
Exchange Rate Index 2 90.0 (Feb21)90.0 90.6
1 y-o-y, %.
2 Monthly average, January 2006 = 100, $/local currency.
Source: CEIC database.

Initiatives / FTAs