ACKNOWLEDGEMENTS

ABBREVIATIONS

INTRODUCTION

                Asia-Pacific displays stellar performance in 2010

                Coping with the slowdown in the developed economies

                Managing the blowback from the European debt crisis

                Growth of exports to the developed countries to falter

                Rising prices accompanying growth recovery

                Exchange rates appreciating under pressure from capital flows

GROWTH OUTLOOK FOR 2011

KEY DOWNSIDE RISKS IN 2011

                Managing capital inflows

                Rising food prices affecting the poor

FOSTERING ALTERNATIVE SOURCES OF DEMAND

                Boosting consumption by reducing poverty and Millennium Development Goal gaps

                Boosting investment by removing infrastructure gaps

                Integrating to benefit from the region’s domestic demand

                Creating a regional financial architecture to support economic integration