The last 2 years have been tough for the world. Businesses are shutting down, constant changes have to be made, and lives have been taken away. All of those are the consequences caused by COVID-19.
Specifically for Asia, is there a way for this region of the world to come back on its feet? As many of you may know if you are in Vietnam, the officials are still trying their best to recover the country. Is it safe to say Vietnam, or Asia as a whole, has the potential to rebound against the consequences COVID left for them?
Asia has a very strong demographic. South and Southeast Asia have a combined population of 2.5 billion people. Such a number is impressive enough to describe the powerful workforce that Asia can offer to the world, as well as a solid consumer base of different ages. This trait attracts a lot of international companies because they rely on the profits made by this huge population rate.
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Moreover, the constant growth in the services industry makes it more positive to believe in the rebound of Asia. Regarding manufacturing, infrastructure, and many other areas, they are showing some gradual increases. Even though they are remaining at the lowest point for the last 2 years, the possibility of Asia sustaining in its spotlight is still high. We can still expect to witness a stronger Asia in 5 to 10 years.
Lastly, the geopolitics in Asia is promising. ASEAN helps connect all countries in the region during the most challenging time. One country can always look to the others to ask for support whenever needed.
Many people assume that Asia can only rely on China because it’s been the centre of all investment. However, the table has turned. Now, Vietnam and many other countries are attracting big names to relocate their factories such as Apple, Microsoft, etc.
Challenges and upcoming concerns in Asia
However, Challenges are unavoidable and they constantly come. One big concern at the moment is the new COVID-19 variant called Omicron. The virus is said to be less severe than the other variants. But it requires all countries to be more cautious when reopening international flights.
The increase of the delta variant of COVID-19 also raised concern among many critics. The IMF (The International Monetary Fund) decided to downgrade the growth forecast for Asia because COVID-19 is still ravaging this part of the world. Asia is still behind Europe and America in the rolling rate of COVID vaccines. The lack of access to vaccine supply will likely stagnate the growth of this region. For now, The IMF is still positive to say that Asia is still the fastest-growing region at the moment, along with many positive and convincing numbers showing the comeback of Asia in the future.
Vietnam, India, and Malaysia are some of the countries that are the most struggling at the moment.
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Source: Vietnam Insider