Sunday 6 November 2011

Mizuho Financial Global: Foreign Investment to Stimulate Growth in Asia


Trends in Asian foreign direct investment are still set to see a rise in investment in China and the overall Asian markets next year, regardless of an increase in China’s manufacturing costs. India is now poised to replace China having the highest rates of growth, with China slightly trailing. The Chinese economy has been knocked by the global slowdown and demand for its products, as demonstrated by the low growth rates in the Eurozone and the United States, together with a vigilant recalibration of its domestic economy to sit more comfortably with a more resilient consumer economy.

Asia is leading global GDP growth figures this year, again led by China, India and Vietnam. Figures for ASEAN are forecast to be slightly depressed from earlier predictions, to 6 per cent, principally because of the severe flooding that is damaging Thailand’s economy, one of the region’s largest. ASEAN, a collection of 10 nations, will have a market of nearly 600 million people and has agreed to free trade agreements with China and India. According to analysts at Mizuho Financial Global, the same trend is likely to continue into next year, as there are signals that the US economy will pick up and fuel a renewal of trade with China. The Eurozone continues to be down in the dumps, with figures signifying that to build business growth in the US and Europe, whose domestic economies persist in performing listlessly, companies need to explore new markets, especially in Asia.

A noteworthy factor is the rise of India, a country that offers solutions to the manufacturing supply chain: a comparatively cheap labour force and a flourishing domestic market. It is also interesting to note that the population of ASEAN is roughly 20 per cent higher than the entire European Union, which corresponds to a huge consumer market that has the ability to purchase high value commodities. Financial analysts at Mizuho Financial Global see ASEAN as the main driver that will command continuing foreign investment into China, India and ASEAN, and its free trade agreements with China and India should also help facilitate sales to these markets. Next year should be time for corporates to expand into these Asian growth markets and develop new sales while Western markets continue in economic lethargy.

About Mizuho Financial Global:
Mizuho Financial Global is an independent, full-service brokerage, wealth management and business management concern dedicated to providing pioneering capital appreciation and wealth preservation solutions to affluent individuals and families and businesses.

Without exception, they place the welfare of their clients first and foremost and they take great pride in knowing that they are the first port of call for their investment and financial affairs. They constantly exceed our clients’ expectations by going the extra mile to deliver the service and, most importantly, the returns on investment their patronage demands.

Contact:
Address: SHINAGAWA CRYSTAL SQUARE BLDG. Suite No. 901,
1-6-41, Kounan, Minato-ku,
Tokyo, 108-0075
JAPAN
Telephone: +81-3-5782-8708
Facsimile: +81-3-5782-8707
http://www.mizuhoglobal.com
info@mizuhoglobal.com

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