Is Asian debt a cause for concern?

Jade Fu, investment manager at Heartwood Investment Management, analyses the public and private debt balances of Asian economies, and how they impact investors in the region

Economic performance was disappointing in emerging market Asia during the first quarter of 2015, and equity markets have lost ground since the end of April. Several markets, including China and India, have experienced a sizeable pull back too.   While concerns about growth have added to weaker investor sentiment, real GDP growth for EM Asia easily outpaced other emerging and advanced economies last year, averaging 6.4%. Forecasts for this year and 2016 are 6.1% and 5.5%, respectively, which, although moderating, remain reasonably robust. Moreover, if we are to see a US-led rebound in glob...