ADB Sees Developing Asia Growth Slow to 4.9% as 2026 Inflation Rises to 4.3%
Updated
Updated · Asian Development Bank · Jul 9
ADB Sees Developing Asia Growth Slow to 4.9% as 2026 Inflation Rises to 4.3%
3 articles · Updated · Asian Development Bank · Jul 9
Summary
Growth in developing Asia and the Pacific is now forecast at 4.9% in 2026, down from 5.5% in 2025, while 2027 growth is held at 5.1%.
Higher energy costs, shipping disruptions and tighter financial conditions from the Middle East conflict are expected to weaken activity after a firm start to 2026, with the drag fading only gradually.
Inflation is projected at 4.3% in 2026 and 3.4% in 2027 as energy-price pass-through broadens into food and other costs, with supply-chain bottlenecks likely to keep price pressures elevated even if oil eases.
ADB said policymakers must balance growth support with inflation control, while risks include renewed conflict escalation, tighter energy markets, higher risk premia and fresh US tariff uncertainty.