Pacific potential to lead growth

Press, 19 May 1984, Page 23

Pacific potential to lead growth

SHAREMARKET TREND

NZPA-AAP Sydney The Pacific area has the potential to take over the role of maintaining world economic recovery from the United States next year, according to Mr Christopher Johnson, the group economic adviser to the Lloyds Bank Group. Above average rates of growth of about 5 per cent in Japan, Australia, South Korea and China were forecast for 1985, Mr Johnson

said in Sydney. This compared with present United States growth of 5.5 per cent, and a forecast growth next year of 2.5 per cent. Mr Johnson said the Pacific would be one area where international banks could selectively increase their exposure. Among the developing countries, those in the Far East had relatively good prospects for economic expansion, backed by an increase in international bank credit, he said. Mr Johnson noted that Japan would come under increasing pressure from the United States to remove restrictions on the inflow of foreign capital, strengthening the value of the yen, encouraging the import of foreign goods, and assisting the recovery in other countries.

Rises Falls N.Z.U. Index Turnover May 7 .... 63 28 1384.18 4,886,016 May 8 .... 80 28 1392.95 4,447,363 May 9 .... 50 50 1398.82 4,335,377 May 10 .... 39 44 1391.24 3,706,692 May 11 .... 43 69 1375.21 2,995,311 May 14 .... 76 39 1353.77 2,370,715 May 15 .... 25 75 1335.12 2,284,184 May 16 .... 44 44 1342.32 3,516,723 May 17 .... 60 22 1348.46 2,715,794 May 18 .... 72 22 1363.79 3,159,716