AMRO raises ASEAN+3 growth projection to 4.1 per cent for 2027

Singapore (ANTARA) - The ASEAN+3 Macroeconomic Research Office (AMRO) on Monday (5/10) raised its economic growth forecast for the ASEAN+3 region—comprising ASEAN member states plus China, Japan, and South Korea—to 4.1 per cent for 2027. This represents a 0.1 percentage point increase from previous projections, as stronger exports and investments in artificial intelligence (AI) bolster economic activity.

The growth forecast for 2026 remains unchanged at 4.1 per cent, AMRO stated in a report.

“The AI investment cycle is supporting various widespread regional activities, although domestic demand remains uneven,” said Dong He, Chief Economist at AMRO.

He also noted that disruptions to the supply of energy and industrial raw materials have not been as severe as many feared, thereby reducing pressure on the manufacturing sector.

However, high energy and logistics costs continue to weigh on household purchasing power and business expenses, he added.

Looking ahead, AMRO stated that the region’s growth prospects remain highly sensitive to AI-related demand, which could either strengthen or weaken exports and investment.

Additional risks that could lead to a downturn include the resurgence of energy supply disruptions in the Middle East, more persistent El Niño phenomena, financial market volatility, and further protectionist measures.