‘Triple whammy risk looms over India’: Krishna Srinivasan, Director, International Monetary Fund’s Asia and Pacific Department

Are we heading toward a “lost decade” for some emerging Asian economies, given that they have to bear a disproportionately larger burden of the West Asia war? It’s too early for a rush to judgment. In recent years, Asia has faced a series of shocks—Covid, Ukraine, tariffs, and now the West Asia conflict. Despite concerns, especially given the region’s high trade exposure and supply chain integration, Asia has remained resilient. Even after the tariff shock, the region held up well, supported by a strong tech cycle, accommodative macro policies, and easy financial conditions. Tariff cuts—including for India from 50% to…