The full report can be downloaded at the end of this article.

Released on 1 August 2024: “Navigating High Winds: Southeast Asia Outlook 2024 – 2034”  by Angsana Council, U.S. consultancy Bain & Co. and Singapore’s DBS Bank provides a comprehensive analysis of the economic prospects for Southeast Asia over the next decade, finding that the GDP of the top six economies in Southeast Asia – Indonesia, Malaysia, the Philippines, Singapore, Thailand and Vietnam –  (SEA-6)  will grow at an annual average rate or 5.1% with Vietnam and the Philippines driving the region’s growth, exceeding 6% each.

In 2023, for the first time in ten years, the SEA-6 attracted more FDIs than China. The SEA-6’s FDI grew to US$206 billion ($276.83 billion) while China recorded US$43 billion. Between 2018 and 2022, SEA-6 grew its FDI by 37%, compared to China’s 10%- citing geopolitical tension and tariffs between China and the US being contributing factors.

The report provides a 10-year growth forecast for SEA-6 economies by reviewing factors that impact labour, capital and productivity.

The Philippines’ pro-growth administration, which is prioritising infrastructure investments particularly with renewable energy projects, are gaining investor interest.

the report encourages the SEA-6 to adopt opportunities in five areas: in emerging growth sectors, to be proactive in leveraging technology, develop financial markets, accelerate the green transition and embrace collective growth.

Already, the report notes that Singapore, Malaysia and Thailand are poised to be key players in developing a range of financial products and services in the banking, insurance, private equity and microlending space, among others.

Meanwhile, the Philippines, Vietnam and Indonesia are well-positioned to produce low-cost energy, which will help to fuel the region’s growing energy needs.

The SEA 2024-2034 full report can be downloaded HERE+