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Published Date: 2021-07-20
A local think tank
has upgraded its forecast for Taiwan’s GDP growth this year to 5.16%, up 0.36
percentage points from the previous prediction. The Chung-Hua Institution for
Economic Research (CIER) released the latest figure on Tuesday. The prediction
is a record high since 2010. Last year’s GDP was 3.12%.
CIER President
Chang Chuang-chang said Taiwan looks set to see brighter economic prospects.
That’s despite the fact that the LEVEL 3 COVID-19 Alert that began in mid-May
has dampened domestic consumption. In addition to booming international trade,
Chang said a lower comparison base last year is also a factor for the higher
forecast. Stable and higher-than-expected fixed capital formation and domestic
consumption are also reasons for the high figure.
The think tank
said average GDP growth will reach 7.5% in the first half of this year, and
3.05% in the second half of this year. It also said if the government lowers
the LEVEL-3 Alert next week, as many expect, the GDP growth rate could even
reach 5.86%.