Macau tops Asia’s list of fastest growing economies in 2024

Macau has topped the list of Asia’s fastest growing economies in 2024, with a booming a real GDP growth rate of 27.2% and a GDP per capita growth rate of 29.16%. 

The SAR ranked first in a report from the finance website, Insider Monkey, on the 20 Fastest Growing Economies in Asia in 2024.

The report noted global growth is more resilient than expected, with inflation declining steadily.

An International Monetary Fund (IMF) report expected the global economy to grow at the previous year’s rate of 3.1% in 2024 as well.

Previously, the IMF had said the local economy is “robust,” as the institution forecasted economic growth of 13.9% this year, as well as a return to pre-pandemic levels in 2025.

Along with the gaming sector’s “stellar performance,” the economic recovery has also been bolstered by the mass tourism segment, while non-gaming services exports also expanded strongly.

In the latest 20 Fastest Growing Economies in Asia in 2024 report, global growth is anticipated to increase modestly by 0.1% to reach 3.2% in 2025.

Along with the global trend of strong economic recovery, the growth expectations for Asia have been raised.

Asia’s economic growth for the year is now projected at 4.5%, against the previous expectation of 4.2%.

The outlet noted the main contributing factors behind the upward revisions are the emerging economy of India, which is demonstrating a strong domestic demand, and China’s higher spending on disaster reconstruction and resilience projects.

Following Macau was India, with real GDP growth of 6.3% and a GDP per capita growth rate of 9%.

Cambodia joined the top 3 fastest growing economies in Asia in 2024 with a real GDP growing at 6.1%, whereas it has a GDP per capita growth rate of 6.34%.

Bangladesh ranked fourth, while the Philippines came fifth.

China, meanwhile, ranked 17th on the list, being the largest Asian country covering the entire East Asian region. The country has a real GDP growth rate of 4.2% and a GDP per capita growth rate of 4.9%.

The report noted China’s higher spending on disaster reconstruction and resilience projects as the main contributing factors behind the upward revisions.

However, some potential challenges facing the Asian economy include China’s deteriorating property sector, the financial volatility of some highly indebted economies, a long and inefficient supply chain, and the threat of higher shipping costs.

Last month at the annual session of the National People’s Congress, Premier Li Qiang announced China aims to achieve 5% economic growth this year, acknowledging it will be a challenging goal in difficult times.

In his address to the annual session of the National People’s Congress, Li outlined plans to boost spending on developing advanced technology, fortifying China’s military and supporting the economy, among many other longstanding goals. 

China’s economy grew at a 5.2% pace last year, but that was on top of a 3% annual growth rate in 2022, when millions of people were locked down for weeks and some businesses were ordered to close as the country endured disruptions from the Covid-19 pandemic. 

Despite such turmoil, the IMF has previously noted China’s economy could recover faster than expected if the government makes additional property and structural reforms to boost consumer confidence.