A look back at 2012December 21, 2012 / By Dr. Jane Murray
Another year has flown by…while the world economy has slowed further. Asia Pacific certainly hasn’t been immune from the global challenges, but it has held up relatively well this year all things considered. As I look back on the last twelve months, here are a few of the highlights:
- 2012 regional growth is expected to come in at around 4.8%, or almost three times higher than the rest of the world. While the region’s exporters have been hit by weak demand from the West, growth has been bolstered by stronger domestic sectors.
- Once again, China has been the regional outperformer with expected GDP growth of close to 8%, and recent data suggest a bottoming out of the slowdown there.
- The prize for “emerging star” goes to Indonesia, while South East Asia generally has proven to be quite resilient over the course of 2012.
- Across the region’s property markets, we’ve seen a divergence between leasing and investment activity levels this year. Corporates have remained cautious about expansion plans while investors, mainly cash rich locals, have continued to seek out acquisition opportunities.
- Top of the office market rankings in terms of rental and capital value growth have been Beijing and Jakarta – not surprising given the economic performance and demand-supply fundamentals of these markets.
- These results are in keeping with our latest global real estate transparency findings published in mid-2012. The biggest improvers in Asia Pacific over the last two years have been the South East Asian countries, led by Indonesia. China also recorded good progress.
The AP research team trusts that you’ve found our research to be of value in your decision making and we hope that you’ve enjoyed our blog series this year. We’re taking a short break from blogging and will be back in the new year.
On behalf of the team, I would like to wish our readers a happy festive season and all the best for 2013.