The recovery in Asian economies and exchange traded funds (ETFs) that track them could be on the fast track. Countries in the region are showing a strong turnaround from widespread financial contagion.

Healthy company reports, new hiring, impressive stock market rallies and other economic data streaming in from Singapore, the Philippines, Australia, Japan and China are providing a strong basis that the region could outpace the recovery in the West, reports Bettina Wassener for The New York Times. Not all countries are recovering at the same pace, though.

• China is just one example of a country that has made a successful post-crisis turnaround. In July, its industrial output increased 10.8% year-over-year and retail sales jumped 15.2%. The government expects a 8% growth in GDP and economists estimate a 11.9% expansion in 2010.
• On the other hand, Japan remains deeply in a recession. One economist says the country has seen a short-term rebound, but long-term prospects are still up in the air.

Asia has been supported by a relatively stronger financial system since banks in the region did not deal in the complex financial instruments that caused the collapse in Western banks.

However, Asia’s recovery has depended heavily on government stimulus. Exports also remain depressed and a drawn out downturn in the West could be problematic for Asian countries that rely on exports.

• BLDRs Asia 50 ADR Index (ADRA): up 27.4% year-to-date

• iShares S&P Asia 50 Index (AIA): up 43% year-to-date

For more information on Asia, visit our Asia category.

Max Chen contributed to this article.

Tags: ADRA, AIA, Asia, Australia, China, Emerging Markets, Global ETFs, Japan, Philippines, Singapore, South Korea