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Cascade of cash promises growth

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Major investments seem set to lift some of Southeast Asia's economies above the pack this year.

Singapore, for instance, is expected to award contracts for its first casinos, which it bets will draw hordes of free-spending gamblers.

'It will be the year [the government] will award the integrated multibillion-dollar resort project, which is huge for a US$100 billion economy,' says Joseph Tan, Southeast Asia economist for Standard Chartered Bank.

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Rolling the dice, counting the chips and pouring the drinks should create thousands of jobs - just the turn of fortune needed by those laid-off by the migration of low-end factories to China.

Prospects for manufacturers are also looking up. 'The pressures from hollowing out, we think, are over. We are seeing vibrance in higher-end manufacturing and in precision industries like aircraft and automotive parts,' says Sailesh Jha, a senior regional economist at Credit Suisse First Boston.

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'The places we like, in a nutshell, are Singapore, Malaysia, and Thailand. Those places have relatively tight labour markets, the domestic economy seems to be broadening out, and we also see a pick-up in fixed investment,' says Arthur Woo, an economist at Merrill Lynch.

One industry that pundits agree will enjoy a hot year is electronics.

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