The Asia-Pacific Economic Cooperation (APEC) region posted a 6.1-percent increase in economic growth in the first quarter of 2021, bouncing back strongly from a 2-percent decline in the first quarter of 2020, according to an updated report by the APEC Policy Support Unit on Tuesday.
The number comfortably put the region on track to achieve growth expectations for the year, which is now estimated at 6.4 percent, or slightly higher than the earlier prediction.
High growth in the first quarter of 2021 was due to a combination of factors, including the low comparison point following substantial economic contraction a year ago as well as higher government spending given the sustained impact of the pandemic on economic activities, while domestic consumption grew considerably during this period, the report said.
In the near term, the APEC Policy Support Unit still sees sustained stimulus measures from governments driving the region’s economic growth. Private consumption will also get a boost of confidence as consumers are expected to draw on their accumulated savings, bolstered in part due to cash transfers and wide-ranging subsidies to households.
Read more here