The Global Economy is expected to rise to 3.9% in 2018-19, according to the IMF. The MD of International Monetary Fund stated on Tuesday, that the world needs to brace for change as global economy is rising. ASEAN countries need to revamp their growth models to keep pace with the changing global economy.
The global economy is experiencing a ‘broad-based growth’ as reported by the MD of IMF. However, the world needs to change as the risk of trade disputes, normalisation of monetary policies and change in technology is also embracing us.
Global Economy Rise and the ASEAN Countries
Last year the rise in economy was 3.7% and as per IMF’s prediction early this year we are moving towards a 3.9% rise. The IMF also commented on how the ASEAN countries are in preparation for high rates of interest in economies that are already advanced like the US and the European nations. A statement of warning was also issued for monetary policy makers to make note of the effect on the stability of financial positions and a dynamic flow of capital.
The ASEAN countries need to adopt revamped policies and models of growth that focus on the demand in the domestic front, regional diversification of economics and trade and also brace for the fast changes in technology, like automation, AI, bio-technology and other newer finance technology. Digital money and currencies also need to be looked into to be a part of the global economy.
Will the rising global economy and technology hamper the job market?
While on one hand it may seem like this change in economy and influx of changing technology may hamper the job market, on the other hand this is the prime time for countries to better educate their workforce in preparation of making the best use of the new technological changes. Current jobs will be affected, directly and in-directly, and thus this is the time to think about the future of jobs and the workforce.