IMF Asia-Pacific economic growth projections

The International Monetary Fund (IMF) reports that the Asia-Pacific region is positioned to lead global economic growth, even as it faces risks from geopolitical tensions and energy shocks. The region’s energy intensity is noted to be approximately 4% of its GDP, nearly double the rate of the European Union.

Specific regional outlooks include Timor-Leste, where the IMF is supporting the modernization of monetary, financial, and fiscal frameworks following its 2025 accession to ASEAN. Projections for Timor-Leste suggest GDP growth of 4.5% in 2025, 4% in 2026, and 3.7% in 2027, though the country faces fiscal sustainability and current account deficit challenges.

In Hong Kong, officials suggest growth may exceed the IMF’s 3.8% forecast, despite headwinds such as trade frictions and inflation. Meanwhile, Bhutan is expected to see real GDP growth moderate from 8.2% in 2025 to approximately 6.9% by 2027, alongside rising consumer price inflation and a widening current account deficit.