Asia Leads Global Recovery

Asian countries are leading recovery of the global property market, primarily through government stimulus plans, India’s Economic Times reports. The strengthening markets include China, Singapore, India and Vietnam. China appears to be the region leader. Its government-dominated, top-down economy is surging after Chinese banks issued more than $1 trillion in loans in the first half of 2009, plus a nearly $600 billion government stimulus program. Singapore, India, Vietnam and a number of other Asian markets are also strengthening.

In past recessions, the United States has led global recovery.  “The economic center of gravity has been shifting for some time, but this recession marks a turning point,” said Neal Soss, chief economist for Credit Suisse in New York. “It’s Asia that’s lifting the world, rather than the U.S., and that’s never happened before.” He adds that vigorous rebounds, particularly in East Asia, suggest U.S. imports and exports will soon improve.