China, India Savings May Help Asia Outperform Emerging Markets

by Dave

Of this 30%, Indian household savings comprise about 25% with the remaining 5% being private corporate savings. Worldwide

Asian financial markets led by China, India and Malaysia are likely to outperform other developing nations as higher savings help borrowers to weather the global economic slump, according to Bank of America Corp. analysts.

Chinese domestic savings total more than 45 percent of gross domestic product, supporting economic growth, Lawrence Goodman, head of emerging-market strategy at Bank of America in New York, wrote in a research note. Malaysia and India have private saving rates above 30 percent, he said.