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By Rajiv Biswas

Asian Megatrends assesses the main drivers impacting Asia over the subsequent 20 years. the increase of China is remodeling the Asia-Pacific, as China’s financial and army could more and more reverberates during the quarter. India and Indonesia also are emerging Asian powers which are altering the form of the Asian monetary panorama. The fast development of rising Asian patron markets is turning into an more and more vital development engine for the realm economic climate and for international multinationals. besides the fact that, Asia faces great financial and social demanding situations over the long term, together with the swift development of Asian megacities and critical environmental difficulties because of weather switch, water crises and pollutants. Geopolitical tensions have additionally been escalating within the Asia-Pacific because of territorial disputes within the South China Sea and the East China Sea, expanding the danger of a local palms race and armed forces confrontation.

Asian Megatrends is an important learn for presidency officers and company executives wishing to appreciate the speedily altering danger panorama in Asia.

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After 2030, Indonesia does start to experience more significant population ageing, with the old age ratio reaching 24 per cent by 2050. However this is still moderate compared to Northeast Asian countries. The relatively youthful demographic profile of Indonesia over the next three decades should give Indonesia a competitive advantage in trying to attract manufacturing investment into the country, although significant economic reforms in to improve the business climate are also needed over the medium-term.

Rapid increases in population also create significant new challenges for governments in order to provide basic infrastructure and health care facilities. In India, the total population is projected to increase from 1,282 million in 2015 to 1,476 million in 2030 according to UN central case population projections. By 2050, India’s population is projected to rise to 1,620 million persons, a further increase of 144 million persons in the population. This represents an increase of 194 million people over the next 15 years, which will result in significant growth in the size of Indian cities and a rising urbanization ratio, boosted by continued rural-urban migration flows to cities for those in search of employment and access to essential infrastructure and services.

The shrinking size of the total population in Japan is also creating new dynamics in the economy. Demand for products and services for the share of the population that is below the age of 15 will decline rapidly, while goods and services for the senior citizens is likely to grow rapidly over the medium-term. 36 Asian Megatrends In China, the impact of ageing demographics is already resulting in a gradual decline in the working age population, with the old age dependency ratio also set to rise rapidly over the next three decades.

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