The Brief: Asia's economy, 13 August 2026

Economies

Malaysia: Courts Bolster Environmental Accountability, Embrace Public Interest Suits: Malaysian courts demonstrate increasing openness to public interest environmental litigation, despite the Federal Constitution lacking an explicit right to a healthy environment. This shift strengthens avenues for corporate and government accountability.

India's Women Cash Transfers Reshape Household Spending: India's direct cash transfer schemes for women, active in over 15 states, demonstrate broader household financial effects beyond direct recipients, new research reveals.

Singapore Raises 2026 GDP Forecast to 4.5–5.5 Percent on AI Boom: Singapore's Ministry of Trade and Industry (MTI) upgraded its 2026 economic growth forecast to 4.5–5.5 percent, up from 2–4 percent. This revision follows stronger first-half performance, with Q2 GDP growth revised to 5.9 percent year-on-year, largely driven by global artificial intelligence investment.

Philippines Trade Growth: British Chamber Discusses Amid GDP Slowdown: The British Chamber of Commerce Philippines met Manila's UK envoy to expand trade in agriculture, technology, and services. This occurs as Philippine GDP growth slowed, though inflation eased.

Markets

Reserve Bank of India absorbs ₹75,000 crore liquidity: India's central bank will conduct a one-day variable rate reverse repo auction today, 12 August 2026. This operation absorbs ₹75,000 crore from the banking system to manage liquidity.

ST Engineering Shares Slip After Q2 Contract Wins Fall 38%: ST Engineering's shares dropped on Tuesday after the Singaporean group reported a significant year-on-year decline in new contract acquisitions for Q2 2026.

Banking & Fintech

Southeast Asia Lenders Use AI to Reach Unbanked, FICO Data Shows: Over 70% of Southeast Asian adults lack full banking access, representing a significant credit market. AI-driven credit decisioning helps lenders assess these "credit-invisible" borrowers, expanding financial inclusion and unlocking billions in revenue.

GCash, Fuse Financing Train 200+ Philippine MSMEs in Digital Finance: GCash and Fuse Financing conducted a financial literacy programme in Cebu for over 200 micro, small, and medium enterprises (MSMEs), focusing on digital tools and responsible lending.

Industries

Ningbo Tuopu Director Buys HK$145.6 Million Hong Kong Villa: A director linked to China's Ningbo Tuopu Group purchased a HK$145.6 million luxury villa in Hong Kong, demonstrating continued mainland interest in the city's high-end property market.

Pop Mart's Blind-Box Appeal Fuels Chinese Brands' US Growth Among Gen-Z: Chinese brands like Pop Mart are finding success with US consumers by cultivating a global image and targeting niche markets, particularly among Gen-Z buyers who appreciate their unique aesthetics and 'blind box' sales strategy.

IBM, Together AI Build $240 Million Nvidia AI Inference Cluster: IBM and Together AI will construct a multi-year, $240 million artificial intelligence (AI) inference cluster on IBM Cloud, utilising Nvidia systems. This infrastructure aims to support open-source AI models, addressing growing business demands for cost control and cybersecurity in AI operations.

Wealth

India Weighs UPI Fee for Mutual Funds; Investors Face Potential Costs: India's government may introduce a Merchant Discount Rate (MDR) on Unified Payments Interface (UPI) transactions for mutual funds. This could increase costs for investors, with the impact varying by investment type and payment method.