Indonesia outlook negative Fitch decision reflects rising concerns about policy credibility and fiscal risks even as the rating agency affirmed the country’s BBB long-term foreign-currency rating. Fitch said increasing policy uncertainty and more centralised decision-making could weaken fiscal guardrails, including the 3% of GDP deficit cap. The agency also highlighted risks from a review of the State Finance Law in the government’s 2026 legislative priorities. The Indonesia

South Korea banks emergency support programmes were activated after escalating Middle East tensions increased risks for financial markets and companies. Hana Financial Group said it would provide KRW12tr (USD8.2bn) in assistance including emergency liquidity of up to KRW500m per firm, loan-maturity extensions, grace periods and rate reductions. Woori Financial also tightened monitoring and strengthened cybersecurity checks. Regulators said broader market stabilisation steps w

China tax crackdown unified market efforts intensified in 2025 as the State Taxation Administration investigated 389 leads related to illegal tax practices linked to local investment incentives and corrected confirmed violations. Authorities also strengthened tax information reporting rules for internet platforms, with more than 8,000 platforms now complying in a move aimed at improving competition between online and offline businesses. The China tax crackdown unified market

Asian banks Gulf lending exposure is facing renewed uncertainty as escalating tensions linked to Iran raise risks for financing activity in the Middle East, Bloomberg reported. Asian and Chinese banks extended more than USD15bn of loans to the region last year, triple the previous year, with most funding directed to Saudi Arabia and the UAE. Analysts said some lenders may take a wait‑and‑see approach or demand higher pricing rather than exit deals if tensions remain contained

Singapore South Korea FTA upgrade talks will begin as both countries deepen cooperation on supply‑chain resilience, digital trade and the green transition, Prime Minister Lawrence Wong said during a summit with President Lee Jae Myung. The Singapore South Korea FTA upgrade will modernise the 2006 agreement and strengthen collaboration in areas including artificial intelligence and civil nuclear energy. Leaders also witnessed the signing of memorandums covering technology and

Hong Kong will transfer about HKD52.8bn(USD6.8bn) back to government accounts in 2026-27 to better fund its capital account amid heavy infrastructure spending, Financial Secretary Paul Chan said. The Hong Kong fiscal transfer includes about HKD15.8bn from funds set up outside government accounts after reviewing 36 purpose-specific funds, with some vehicles to be closed or consolidated. Another HKD37bn of accumulated surplus from the Bond Fund, created in 2009 to support Silve

Singapore dividends 2025 reached a record USD18.7bn, up 19.1% from a year earlier, helped by bank special dividends and higher payouts, Capital Group said in its Global Equity Study. Global dividends also rose 7% to a record USD2.09tr, the report said. Capital Group noted Singapore’s top-line growth was lifted by one-offs, while core growth was more modest, and said banks’ special dividends reflected strong capital positions. Jeik Sohn, head of client group for Southeast Asia

Hong Kong will inject more capital into the Hong Kong Investment Corporation after it largely allocated its initial HKD62bn (USD7.9bn), as the government widens the fund’s role to draw long-term money into high-quality commercial property projects, Financial Secretary Paul Chan said. The Hong Kong Investment Corporation has invested in more than 190 projects, with 10 portfolio companies already listed and another 20 preparing to list this year, he said. Chan also said the fun

The Philippine Securities and Exchange Commission has eased IPO free-float rules for large listings, introducing a tiered public ownership framework aimed at unlocking mega-IPOs as the market struggles to absorb big deals. Under SEC Memorandum Circular No. 11, issuers expecting market capitalisation above PHP50bn (USD890m) at listing must sell at least 15% to the public, subject to a minimum offer size of PHP10bn, versus the previous flat 20% requirement. For firms valued at

China urged the US to scrap unilateral US tariffs after the Supreme Court, in a 6-3 ruling, struck down many of President Donald Trump’s levies as beyond his authority under a 1977 emergency-powers law. Trump responded by unveiling a flat duty on imports worldwide, lifting the rate from 10% to 15% under a separate legal provision. China’s commerce ministry said it was conducting a comprehensive assessment of the decision and called on Washington to quickly end tariff measures

Asia-Pacific CRE investment hit USD40.3bn in the fourth quarter of 2025, up 15% from a year earlier, as full-year volumes rose 12% to USD147.6bn, their strongest showing since 2021, helped by sale-and-leaseback deals and industrial exits, JLL said. Japan remained the region’s busiest market, logging USD9.8bn in Q4 and USD41.4bn for 2025, while South Korea’s Q4 volumes jumped 41% to USD7.7bn, lifting the annual total to USD28.1bn on demand for core offices and logistics. The l

The IMF issued an IMF warning on China economic policies, urging Beijing to pivot toward domestic consumer spending and saying a shift to a consumption-led growth model should be the top priority, as the fund warned China’s large current-account surplus is creating adverse spillovers for trading partners, according to an IMF board statement alongside its annual Article IV review. The IMF said part of the external imbalance reflects export support from a real depreciation of t

Thailand said it wants to help reconnect Myanmar with ASEAN nearly five years after the 2021 coup, positioning itself as a Thailand Myanmar ASEAN bridge as Bangkok presses the junta to take steps toward dialogue and reduced violence in line with the bloc’s peace plan. Thai Foreign Minister Sihasak Phuangketkeow said on Feb. 18 after talks with Myanmar Foreign Minister Than Swe in southern Thailand that Thailand wants to be a bridge back to ASEAN, urging Myanmar to avoid attac

Japan Q4 GDP growth returned to positive territory but badly missed forecasts, underscoring the policy challenge facing Prime Minister Sanae Takaichi as households grapple with high living costs and the Bank of Japan edges toward normalisation. Japan Q4 GDP growth rose an annualised 0.2% in October-December, versus a 1.6% median estimate, after a revised 2.6% contraction in the previous quarter, government data showed. On a quarterly basis GDP gained 0.1%. Private consumption

Thailand 2026 growth forecast has been upgraded after the economy beat expectations in the fourth quarter, giving a boost to Prime Minister Anutin Charnvirakul’s incoming administration. Thailand 2026 growth forecast was lifted after gross domestic product rose 2.5% year on year in October-December, accelerating from 1.2% in the previous quarter, the National Economic and Social Development Council said. On a seasonally adjusted quarter-on-quarter basis, output jumped 1.9%, t

Vietnam credit-quota reform could reshape competition in the banking sector as the country pilots the removal of long-standing growth limits from 2026 and rolls out Basel III-style capital rules, S&P Global Ratings said. S&P said Vietnam credit-quota reform would shift the system away from administrative controls toward more market-based discipline, allowing well-capitalised banks to expand lending based on capacity rather than assigned quotas. However, it called the move a d

Malaysia’s 2026 outlook is improving as analysts point to resilient domestic demand, steady services activity and continued investment, even as external risks linger. Kenanga Research said momentum could deliver upside toward 5% growth in 2026 but kept its base forecast at 4.5%, citing a mixed export outlook despite firm semiconductor shipments and a policy push for industrial upgrading. Hong Leong Investment Bank raised its 2026 GDP forecast to 4.7%, above the finance minist

Hong Kong CEOs revenue growth outlook outpaced global peers, with 98% expecting revenue to rise over the next three years, according to PwC’s 29th Global CEO Survey. The poll of 4,454 CEOs across 95 countries and territories found 87% globally forecast growth. More than half of Hong Kong chief executives, 58%, reported revenue increases from AI, while 17% said they achieved both revenue growth and cost reductions, above the 12% global average. PwC said 56% of Hong Kong CEOs c

Maybank deposit tokens cross-border payments are being tested as Maybank and Malaysia’s Yinson Holdings pilot a tokenised ringgit under Bank Negara Malaysia’s Digital Asset Innovation Hub. Maybank said the pilot uses its permissioned blockchain to run on-chain transactions involving ringgit and other ASEAN deposit tokens, with Yinson as the first corporate participant. Bank Negara launched the hub in June 2025 as a regulatory sandbox to trial programmable money and ringgit-ba

Hong Kong brokers 2026 outlook remains upbeat, with more than 40% calling the city the most attractive investment market this year despite rising costs, stiff competition and tighter regulation, an industry survey showed. The Hong Kong Securities Association said its poll of 152 responses found over half were optimistic on Hong Kong equities, including 8% who were very optimistic. Mainland China ranked second, cited by about 30% of respondents, while nearly 60% viewed the U.S