Oecd amro s1 14_oecd mr kensuke tanaka
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This document discusses the issue of countries becoming trapped in the middle-income level and unable to advance to high-income status. It notes that different Asian countries may face this risk due to country-specific factors like their initial conditions, comparative advantages, and the evolving global economic environment. The document outlines structural reforms needed by various Asian countries to sustain growth and avoid the middle-income trap, such as investments in infrastructure, education, and developing competitive small- and medium-sized enterprises. It indicates the session will focus on issues like human capital development, infrastructure, innovation, institutions, and policies to promote productivity-led growth and macroeconomic stability.
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Mea microsoft word
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- 1. Escaping the Middle-income Trap in Asia - Setting the scene Kensuke Tanaka Head of Asia Desk OECD Development Centre 19 July 2013, Paris 2nd OECD-AMRO Asian Regional Roundtable
- 2. Middle income trap issue is complex. Definition of middle income trap Growth slowdown or “trap”? Figure Average GDP Growth Rate of Asian countries(%) (source) OECD and IMF
- 3. • Country specific structural policy issues to avoid middle income trap – Thailand, Indonesia, Malaysia and Vietnam Different initial conditions Different comparative advantages - Does growth model have anything to do with the possibility of being “trapped”? (manufacturing or services) Evolving global environment - Integration of trade and financial markets This session will focus on… (1)
- 4. The structural transformations needed to sustain growth to avoid “the trap” are… Cambodia Agriculture Human capital development Reform of financial sector Indonesia Infrastructure Education Social security reform Malaysia Human capital development Labour market SME development Philippines Infrastructure Labour market Education Singapore Labour market SME development Innovation Thailand Education Healthcare system Green economy Viet Nam Human capital development Development of banking sector SOEs reform (Source) Southeast Asian Economic Outlook with Perspectives on China and India 2013
- 5. This session will focus on… This session will focus on… (2) • Human capital development, infrastructure, innovation … • The role of institution • Some key policy issues Productivity –led growth Financial system - The importance of allocating funds to the most efficient uses Macroeconomic stability - Capital flows, exchange rates
- 6. THANK YOU