The recent short-term market jitters shouldn't affect the optimistic outlook on the global economy in the medium term, says Aidan Yao, senior emerging Asia economist at AXA Investment Managers.

Although recent economic data from Germany and Asia have disappointed, the US recovery is broadly on track and will drive the momentum of global recovery in 2015, he tells The Asset in an interview.

The diverging monetary policies of the US Federal Reserve, the European Central Bank and Bank of Japan reflect different stages in the economic cycle and while we haven't yet seen much impact of ECB's asset purchase policy, it is gaining momentum.

Structural reforms in India and Indonesia will likely provide support to the region's economies despite deceleration in China.