Lagarde said the IMF was expecting global growth to reach 3.9 percent in 2018 and 2019, up from 3.7 percent in 2017. She said ASEAN countries were preparing for higher interest rates in advanced economies, but cautioned that policymakers need to stay vigilant about its effect on financial stability and volatile capital flows. She also suggested ASEAN countries need to embrace new growth models that put a greater emphasis on domestic demand, regional trade and economic diversification and prepare for technological changes such as increased factory automation, artificial intelligence and digital currencies.
