ADB Cuts Asia GDP Forecast as China Sticks to Zero Covid

(Bloomberg) — The Asian Development Bank cut its forecast for gross domestic product growth in developing Asia this year as China’s “zero-Covid” approach to containing the virus creates ripple effects on regional supply chains and economic development.

The bank expects the region to grow 4.6% this year compared to an earlier forecast of 5.2%, according to a report published Thursday. Growth in China, a key part of the developing Asia bloc, is expected to be a weaker 4% in 2022 against a 5% expansion seen previously.