IMF-Transforming the Future: The Impact of Artificial Intelligence in Korea
March 5, 2025-Summary
This paper examines the economic impact of Artificial Intelligence (AI) in Korea. Korea is among the global frontrunners in AI adoption, with higher adoption rates among larger, younger, and technologically advanced firms. AI holds the promise for boosting productivity and output, though the effects are more pronounced among larger and mature Korean firms.
About half of jobs are exposed to AI, with higher exposures among female, younger, more educated, and higher income workers. Korea's strong innovation and digital infrastructure highlights its AI readiness, while enhancing labor market flexibility and social safety nets are essential to fully harness AI's potential.
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Source: imf.org
IMF-Malaysia: 2025 Article IV Consultation-Press Release; and Staff Report
March 3, 2025-Summary
Malaysia's economic performance has significantly improved in 2024, supported by strong domestic and external demand. Disinflation is taking hold and external pressures have eased.
The favorable economic conditions provide a window of opportunity to build macroeconomic policy buffers and accelerate structural reforms, especially as risks to growth are tilted to the downside amid an uncertain global outlook. Risks to the inflation outlook are tilted to the upside, including from global commodity price shocks and potential wage pressures.
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Source: imf.org
Infographic-Visualizing Chinese EV Market Share Overseas
February 28, 2025--China is the undisputed global powerhouse of the EV industry, leading in both domestic sales and overall production. Chinese brands were responsible for 62% of EV global sales in 2024.
As the global EV market has expanded, in 2024, over 17 million units were sold. Chinese manufacturers have aggressively pursued international opportunities, offering affordable vehicles that often undercut local competitors.
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Source: visualcapitalist.com
IMF-India: Financial Sector Assessment Program-Financial System Stability Assessment
February 28, 2025-Summary
India's financial system has withstood the pandemic well and has become more resilient since the 2017 FSAP. Nonbank financial institutions (NBFIs-especially nonbank financial companies (NBFCs) providing credit with wholesale financing-and market financing have grown, making the financial system more diverse and interconnected.
The role of the state has diminished, yet it remains significant, including in using the financial system to pursue social and public finance goals.
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Source: imf.org
India: Accelerated Reforms Needed to Speed up Growth and Achieve High-Income Status by 2047
February 28, 2025—A new World Bank report, launched today, notes that India will need to grow by 7.8 percent on average over the next 22 years to achieve the country's aspirations of reaching high-income status by 2047.
The new India Country Economic Memorandum titled 'Becoming a High-Income Economy in a Generation', finds that this target is possible.
Recognizing India's fast pace of growth averaging 6.3 percent between 2000 and 2024[1], the report notes that India's past achievements provide the foundation for its future ambitions. Getting there however would require reforms and their implementation to be as ambitious as the target itself.
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Source: World Bank
Thailand: Selected Issues
February 20, 2025--Summary
Summary A. Introduction
1. Thailand's debt ceiling plays a central role in safeguarding fiscal prudence. Thailand has
a comprehensive set of fiscal rules to ensure fiscal responsibility and debt sustainability (Table 1).
Among these, the public debt ceiling, stipulated in the 2018 Fiscal Responsibility Act (FRA), serves as
a key anchor guiding fiscal policies.
The debt rule has a broad coverage of the public sector-encompassing debt of the general government, state-owned enterprises, government agencies, and
guaranteed debt of the special financial institutions. The Fiscal Policy Committee (FPC) determines
the level of the debt ceiling, which is currently set at 70 percent of GDP. The ceiling was raised from
60 percent of GDP in September 2021 to provide more space for COVID-19 related measures.
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Source: IMF
ETFs jump to two-thirds of all Taiwan fund assets
February 17, 2025-Growth sparks regulatory concerns about growing imbalance between passive and active investing
The rising dominance of the exchange traded funds sector in Taiwan's asset management market is continuing at pace despite regulatory calls to halt the growing imbalance between passive and active investing.
Assets in Taiwan's locally listed ETFs surged by 55 per cent in 2024 to reach $195.88bn and now account for 66.1 per cent of all onshore public funds industry assets, according to data from Keystone Intelligence.
At the end of 2023 the local ETF sector had a 56.7 per cent market share of assets, while in 2018 ETF assets stood at just 27.5 per cent of the total market.
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Source: ft.com
China explores relaxing rules to allow multi-asset ETFs
February 17, 2025-Regulator aims to achieve 'significant growth' in index-based investment
The potential moves are part of China's ongoing efforts to boost longer-term stock holdings and revive its capital markets, which in January included telling fund firms to increase their A-share holdings by at least 10 per cent annually over the next three years.
The China Securities Regulatory Commission has said in a statement that introducing multi-asset ETFs and other index products must be done "steadily and prudently", on the premise that "risks are measurable and controllable and investors are effectively protected".
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Source: ftchineselive.com
Thailand Economic Monitor February 2025: Unleashing Growth-Innovation, SMEs and Startups
February 14, 2025--Key Findings
Part A: Recent Developments and Economic Outlook
The economy is set to gain momentum in 2025, driven by stronger domestic demand and fiscal stimulus measures. Growth is projected to accelerate to 2.9 percent in 2025 up from 2.6 percent in 2024.
Tourism and private consumption will continue to be key drivers of growth, although at a slower pace.
Tourism is projected to return to pre-pandemic levels by mid-2025 with the number of tourists expected to surge to 40 million from 35.3 million in 2024.
Private consumption will benefit from fiscal stimulus measures, particularly the Digital Wallet cash transfer program. Preliminary estimates suggest that the cash transfers raised GDP growth by 0.3 percentage points in 2024. However, this comes at a high fiscal cost of THB 145 billion or 0.8 percent of GDP.
view more/a> Mirae Asset's spot gold ETF tops $2.5b in net assets view more
Source: worldbank.org
February 13, 2025--The spot gold exchange-traded fund operated by Global X Australia has garnered over $2.5 billion (3.6 trillion won) in net assets, backed by rising demand for the safe-haven precious metal, Mirae Asset Global Investments announced Wednesday.
Global X Physical Gold is a spot gold ETF operated by Global X Australia under South Korea's leading asset manager, Mirae Asset Global Investments. Launched in 2003 by then-ETF Securities, the fund was the first ETF tied to the gold spot price.
Source: koreaherald.com
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