Asia exports set to rise: CSFB

Asia exports set to rise: CSFB

The much anticipated recovery in the global economy will bolster
Asian exports this year even if the United States, the world's
biggest economy, posts a smaller turnaround than expected, a
report released Wednesday said.

"For this year, we believe that even a mild recovery in the US
is likely to be complemented by a strong surge in pent-up
investment demand from across Asia," global investment bank
Credit Suisse First Boston (CSFB) said.

The fortunes of Asia's export-dependent economies, which have
been squeezed badly by the global slowdown last year and fallout
from the September terror attacks, are about to improve from the
second quarter onwards, said CSFB.

Leading economic indicators in the U.S. and the Organization
for Economic Cooperation and Development, which usually leads the
region by six months, are showing signs of a revival, the
investment bank said.

Asia is well poised to make the necessary investments to boost
production capacity having been forced to make cuts due to the
1997-1998 regional financial crisis, unlike the U.S. which is
still suffering the consequences of over-investment, it said.

"So if the U.S. is to witness several years of muted
investment spending, as it digests the impact of its 1998-2000
over-investment boom, Asia faces no such problems of digesting
over-investment," said CSFB. -- AFP