Coupled with fairly easy monetary policy settings in much of the region, which tends to occur in many emerging economies when US policy rates are very low because of the importance of exchange rate considerations to Asian policy-makers, this is likely to limit downside risks to growth in the short term. It does pose the risk, though, that inflation will continue to pick up.
This is not confined to Asia, either: inflation pressures are evident in much of Latin America and South Africa, both regions where higher resource prices have delivered a terms of trade gain of substantial proportions.