GLOBAL ECONOMY-Resilient factories battling with delays, rising costs

Malaysia, Indonesia and Vietnam saw factory activity shrink in July due to a resurgence in infections and stricter COVID-19 restrictions, according to private surveys.

LONDON/TOKYO: Factories across the world are suffering from supply bottlenecks which sent prices skyrocketing in July, while a new wave of coronavirus infections in Asia demonstrated the fragile nature of the global recovery.

Business surveys on Monday highlighted the divergence in the global economy on the pace of recovery from the pandemic, which led the International Monetary Fund to downgrade this year's growth forecast for emerging Asia.