REVISED ESTIMATES:
Driven by boundless optimism for AI’s future, two major banks have moved their estimates for GDP expansion this year further afield than before
By Crystal Hsu
/ Staff reporter
Two major international financial institutions have turned increasingly bullish on Taiwan’s economic and corporate earnings outlook, citing sustained momentum from rapid artificial intelligence (AI) development and growing AI-related investment.Taiwan’s economy should receive an additional lift from surging AI-driven demand, with UBS Group AG sharply upgrading its growth forecast and HSBC highlighting the economy’s central role in the global AI investment cycle.UBS expects Taiwan’s GDP to expand 9.9 percent this year, up from its April estimate of 8 percent, citing stronger-than-expected demand for electronics used in AI infrastructure and sustained export momentum across the technology sector.
