Thursday, March 15, 2012

SARS has China, other Asian economies reeling

SINGAPORE--Asian economies might be hurt by a slowdown in Chinaafter the world's most-populous nation said it had almost a thirdmore cases of a deadly virus than previously reported.

China's growth this year might fall by half a point to 7 percentas citizens cut spending on travel and entertainment to avoid thedisease, said Pu Yonghao, a Manila-based consultant to the AsianDevelopment Bank's macroeconomic monitoring unit.

A drop in growth and consumption in China will compound the woesof a region already hurt by a slowdown in the U.S. and the spread ofthe virus, which is cutting sales at companies from SingaporeAirlines Ltd. to hotel operator Shangri-La Asia Ltd. The …

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