Taiwan Raises 2026 GDP Growth Forecast to 11.05 Percent

The Directorate-General of Budget, Accounting and Statistics in Taiwan raised its 2026 GDP growth forecast to 11.05 percent, the first double-digit expansion for the economy since 2010. This growth follows a second-quarter expansion of 12.93 percent, fueled primarily by high demand for servers and semiconductors essential for artificial intelligence.

Taiwan Semiconductor Manufacturing Co. reported a 45 percent increase in July sales and raised its annual revenue and spending projections, supporting the broader economic surge. The statistics bureau also increased the annual export growth projection to 41.19 percent, with export volume expected to surpass $1 trillion for the first time in 2027.

Rising private consumption and an annual inflation projection of 2.07 percent have increased the likelihood that the Central Bank of the Republic of China will raise benchmark interest rates during its September meeting.