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4 key demographics and 5 investment themes for Asia

Samantha Chiew Published on Thu, Jun 22, 2017 / 3:56 PM GMT+8

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SINGAPORE (June 22): Here are four key Asian demographic dynamics that could impact Asian equities in the coming years, according to a recent report by CIMB.

1. Different rates of urbanisation
Although Asia is known to be a generally urbanised region, there are some parts, specifically in East Asia, where the population is still non-urban. Indeed, the pace of urbanisation differs widely across the region. While China and Indonesia have been growing fast, India has been significantly slow; suggesting rural consumption remains important in India.

2. Changes in Dependency Ratios
This ratio measures the number of employed people in a household relative to the total size of the household. The key thing to focus on is the female labour participation rate, which differs widely across the region. India and Pakistan have a low dependency ratio, while the numbers are significantly higher in China.