South Asia

South Asia remained the fastest growing region in the world in 2018, as economic growth continued to strengthen. However, growth rates varied greatly across the region—exceeding 7.0 percent in Bangladesh, India, the Maldives, and Nepal, and reaching 5.8 percent in Pakistan, but only 2.6 percent in Afghanistan. Growth in most of the South Asian nations was driven primarily by domestic consumption, with limited contributions from exports and investments. Rising oil prices are a concern because the region is a net importer of oil; higher oil prices exert pressure on current accounts and add to fiscal deficits.