The Brief: Asia's economy, 29 September 2026

Economies

Climate adaptation: Asia-Pacific faces US$27bn annual flood losses: A new survey of 18,000 people shows deep concern over global warming's effects on jobs and living costs, with businesses expected to deliver solutions.

Singapore's August Factory Output Surges 15.4%, Misses Estimates: While Singapore's manufacturing production expanded year-on-year in August, seasonally adjusted monthly output saw a slight contraction, falling short of analyst forecasts.

Markets

Reserve Bank of India Absorbs ₹1.98 Trillion from Money Market: The central bank's liquidity operations on 27 September included Marginal Standing Facility at 5.50% and Standing Deposit Facility at 5.00%.

Mainland China Stocks Plunge to 13-Month Low Amid Tech Sell-Off: The CSI 300 fell 2.2% on Monday, its lowest since August 2025, while the Star Market 50 dropped 4.1% as oil prices climbed above US$100 a barrel.

India Gold, Silver Futures Fall on Geopolitical Worries: Precious metal futures in India dropped on Monday, 28 September, with MCX gold down almost 2% and silver contracts declining 2.6% in early trading hours.

BOJ Policymakers Debated Faster Rate Hikes in July Meeting: Minutes from the Bank of Japan's July policy meeting reveal some officials pushed for quicker interest rate increases, citing escalating inflation risks.

Banking & Fintech

HLB Private Bank, Lombard Odier Launch Multi-Asset Fund: The wholesale HLB Chief Investment Office Fund will serve as a core component for client portfolios, drawing on global research and regional client insights.

Industries

Korean Air Mileage Debt Reaches W3.1tn Amid Falling Redemptions: South Korea's Ministry of Land, Infrastructure and Transport reported Korean Air's deferred revenue from unused customer mileage climbed 9.7% by mid-2026, even as usage declined for two years.

Autonomous Systems Demand Advanced Robot Memory: Autonomous systems on industrial floors need to move beyond basic mapping to include object recognition, spatial memory, and complex reasoning, according to a recent column.

Pakistan first to deploy China's MAZU AI weather system: Pakistan has adopted China's MAZU artificial intelligence weather system since October 2025, becoming the first nation to use the platform for advanced early warning capabilities and disaster risk reduction. China plans to expand the system to 30 countries over the next five years.

NXP, VIS Inaugurate Singapore 12-inch Fab, Largest Investment Since 2015: NXP Semiconductors and Vanguard International Semiconductor (VIS) have opened their joint 12-inch wafer fabrication plant in Tampines, Singapore, now in trial production with volume output expected by Q1 2027.

US, China Agree Tariff Reductions on $30 Billion in Goods: Beijing's Commerce Ministry stated that 90% of the 1,696 products covered by the reciprocal arrangement will see duties fall to most-favoured-nation rates.

Nio sells Nio Power stake to Geely, values unit at US$2.4bn: Chinese EV maker Nio strengthened its collaboration with Zhejiang Geely Holding Group by divesting a 30% share of its battery swap unit, Nio Power, to Geely. The transaction values Nio Power at 16 billion yuan.

Singapore REITs weigh fee structures, higher rates near 25-year mark: The sector, which launched in 2002, is assessing how borrowing costs and management fee models affect investor returns, especially during underperformance.

Mitsubishi invests P44.5bn in Ayala for Philippines growth: Japanese trading house Mitsubishi Corporation is injecting PHP 44.5 billion (around $710 million) into Philippine conglomerate Ayala Corporation, targeting expansion across key sectors.