Friday, March 23, 2012
The current global economic uncertainties have made international business and trading more challenging. There are more and more trade protectionism measures imposed which make movement of goods and services more difficult. These measures are aimed at safeguarding the local industries and hopefully to sustain the competitiveness in the global market. Exports are affected hence more focus now is given to domestic market. Big markets like China, India and Indonesia may not need to rely solely on exports for their economic growth but rather increasing private consumption and spending but for some economies which have exports account for more than 100% of its GDP, like Malaysia and Singapore which are smaller markets,, slowing exports may lead to slower economic growth though it is also important to revive the domestic market to offset whatever slow in exports.