Asia the saver

The global savings glut may persist as, despite ageing rapidly, Asia can continue to be a net saver

In Tessellatum, over the last two months we have discussed two of the major implications of Asia’s ageing: That the demographic shift in 10 major Asian economies (the A-10: China, India, Indonesia, Japan, the Philippines, Vietnam, Thailand, Korea, Malaysia, and Taiwan) is faster than the economic transition, and that workforce quality is likely to trump quantity. Here we discuss the third: Will Asia continue to provide capital to the world?
 

There is disparity among the A-10 on the current account balance (India and Indonesia run deficits, whereas north Asian economies run persistent surpluses), but collectively they accumulated a surplus of