EXPLORING ECONOMIC AND MARKET DRIVERS IN ASIA: A PRE- AND POST- COVID SDG COMPLIANCE FRAMEWORK

Abstract

This research analyzes the connections among key economic elements, that are banking systems, savings, production, inflation, quality of life, currency exchange rates, and the S&P Global Index, to assess theii impact on market cap in Asia prior to and following the Covid-19 pandemic. Benefit: The study enhances the comprehension of the dynamics surrounding macroeconomic, financial system and market based, especially regarding the attainment of Sustainable Development Goals (SDGs), providing valuable information for policymakers, investors, and enterprises... Methodology: Using cross-sectional data from 2019 (pre-Covid) and 2022 (post-Covid), the research applies regression models to evaluate the importance and effects of the identified variables. Information comes from the World Bank and various credible economic data repositories. Findings: Critical insights indicate a major positive impact of manufacturing and GDP on market capitalization, highlighting their crucial importance in long-term economic stability. On the other hand, inflation shows a statistically significant detrimental effect, highlighting the negative consequences of macroeconomic instability. Savings, though conceptually important, show limited direct impact, possibly eclipsed by more dominant elements like production and currency exchange rates. Banking infrastructure, while essential, seems to have a reduced influence in the context after the pandemic. Normal Manufacturing focuses on the unskilled labor, production processes and activities involved in creating goods, including all inputs and outputs. Manufacturing Value Added (MVA) measures the economic value contributed by manufacturing, calculated as the difference between output and input costs, reflecting its contribution to GDP,it focuses skilled labor with technology and capital, etc. Recommendations: The research promotes strategic investment in manufacturing and industrial advancements, focused inflation control, and bolstering exchange rate stability to improve market performance. Enhancing the alignment of banking practices with ESG and SDG principles is advisable to strengthen financial inclusivity and resilience. Implications: The results emphasize the significance of flexible financial approaches and cohesive policy structures for promoting sustainable economic development. They emphasize the necessity for balanced strategy in macroeconomic management that focuses on innovation, equity, and resilience within the changing global economic environment.