Taiwan Central Bank says it sees strong economic growth this year and stable growth next year, while it forecasts Taiwan GDP at 5.82% growth next year
Newsquawk Staff ·
Says
- Looking ahead to next year, demand for emerging technologies is expected to remain strong, which should continue to drive Taiwan's exports and private investment.
What it means
The Central Bank of the Republic of China (Taiwan) has a well-established record of running monetary policy around the export cycle rather than domestic demand, so forecasts of this kind are best read as commentary on the tech pipeline rather than as a conventional macro projection. An upward-leaning growth outlook anchored explicitly in emerging technology demand is consistent with past episodes in which strong semiconductor and electronics orders let the bank hold rates steady or lean mildly tighter while peers eased, since export strength does the tightening work through the trade channel. The distinction that matters is whether the bank treats strong growth as a reason to normalise policy or merely as a reason to tolerate currency firmness; historically it has shown a low appetite for sustained TWD appreciation against export competitors, and guidance framed around exports and investment often precedes smoother management of the fix rather than rate action. A forecast carrying a precise figure of this magnitude is itself notable, as the bank tends to publish rounder ranges when visibility is lower, and a point estimate this firm signals conviction in the order book. The follow-ons worth noting are the accompanying rate decision and any shift in language on the exchange rate, plus whether the tech demand framing survives the next export orders and PMI prints. As a forecast rather than a policy move, the signal sits in the growth and FX leg rather than in rates pricing directly.
- BoK official says private spending is to slowly rebound from Q4 to Q1 2027
- BCB poll shows economists see year-end 2026 Selic rate at 13.25% (prev. 13.25%) and year-end 2027 at 11.75% (prev. 12.00%)
- Major newswire poll shows Bank of Thailand is unanimously forecast to keep rates unchanged at 1.00% at its meeting on Wednesday, while it is seen to keep rates unchanged throughout next year as weak growth outweighs inflation concerns
- CBR Governor Nabiullina says we need longer period of tight monetary policy
- Indonesia's central bank official says rupiah movement still manageable following MSCI announcement last week and says we will respond if needed to ensure supply and demand in the FX market
Related headlines
- Monetary Authority of Singapore, Malaysia Central Bank and Bank of Thailand are partnering on cross-border digital money settlement4 days ago
- BoK says today's rate decision was unanimous, while the timing and pace of further rate hikes will depend on inflation, economic conditions and financial stability.5 days ago
- Bank of Israel keeps its interest rate steady at 3.25%, as expected5 days ago
- Indonesian Central Bank leaves the BI rate unchanged at 5.75%, raises the Deposit Facility rate to 5.00% (prev. 4.75%)5 days ago
- NBH says committed to achieving the inflation target in a sustainable manner6 days ago
- NBH Governor Varga says that 2026 inflation is to be below 3%Oct 16
- CBRT Inflation Expectations Survey (Oct): Maintains 2026 inflation at 29.6%, lifts end-2027 forecast to 23.3% (prev. 22.7%)Oct 16
- Norges Bank Q3 Lending Survey: Slightly lower demand for corporate loansOct 15
- SARB Governor sees upside risks to inflation to remain, adding that he expects CPI to return to the 3% target only in 2028; policy rates are moderately restrictive and consistent with the outlookOct 15
- Bank of Korea sells two-year monetary stabilization bonds at a yield of 3.860%Oct 14
- Philippine Central Bank Governor says they still focus on price stability, but the way they do monetary policy has changed and because of all the uncertainty, they do scenario analyses, and take them much more seriously than beforeOct 14
- Monetary Authority of Singapore keeps FX-based policy settings unchanged with rate of appreciation of the policy band maintained (exp. slight tightening), while it makes no change to the width and level the band is centredOct 14
- Primer: Monetary Authority of Singapore Monetary Policy Review announcement due today at 01:00BST/20:00EDTOct 13
- RBI Chief says RBI determined to do what is necessary to ensure an orderly INROct 13
- Columbia Central Bank official says further rate hikes on the tableOct 13