AsiaPac faces global headwinds

Most Asia Pacific countries are looking resilient enough to handle the impact of the just announced plan by the United States Federal Reserve to further cut stimulus spending, but their economies are likely to face headwinds from other external and domestic factors.

Most of these countries, especially China and South Korea, are well placed to deal with the increase in the cost of investment and reduced availability of international funding as a result of the tapering of the bond-buying program by the US Fed, Moody’s Investors Service said in its “Sovereign Outlook: Asia Pacific” report.