KUALA LUMPUR: For Asia's sake, the United States's growth momentum must remain strong, said OCBC Bank economist Wellian Wiranto today.
This is because if the growth falters it would see President Donald Trump's protectionist instincts go on hyper drive.
That would be a bane for Asian exporters.
Also, a slower growth may tempt Trump to blame others and play up the notion of geopolitical threats.
"That would inevitably leave Asia worse off," he told a briefing on 2017 Economic Outlook.
Wiranto said that while it was early days yet for Trump, the direction was not so good.
He was referring to the US' withdrawal from the Trans Pacific Partnership (TPP), renegotiating the NAFTA, labelling China a currency manipulator as well as tariffs to discourage companies from relocating to other countries.
"If global trade ends up being heavily cut back because of uncontrolled rise in protectionism, it is most unfortunate.
"This is because in recent months, things have been picking up better than expected for most Asian countries."
Meanwhile, a stable Chinese economy will help to cushion things for Asia added Wiranto.
The rally of the renminbi and other Asian currencies has been due to the retracement of the US dollar.
"The ringgit has recovered some grounds and now that oil prices have gained ground, the currency will strengthen further."
Bank Negara Malaysia is not expected to cut the Overnight Policy Rate in 2017, he added.