(ii)  Surpluses in the emerging economies  Contrary to the US that has fed the domestic demand, in Asia and other emerging economies, growth since the late 1990s has been led by external demand. The current account has recorded large surpluses since 1999, particularly for China and other East Asian emerging market economies (EMEs) (Indonesia, Malaysia, Taiwan, Thailand).
Surpluses of two island economies viz. Hong Kong and Singapore have also increased significantly. India too registered current account surpluses between 2001 and 2004, albeit small. In the post Asian crisis period the savings rate in most East Asian EMEs, which has generally remained higher than the industrialized countries exhibited a modest decline.