Taiwan’s economy will only grow 2% this year, with growth in 2020 expected to reach just 1.9%. That’s according to the latest projection from the International Monetary Fund, released Wednesday.
In its latest report on the global economic outlook, the International Monetary Fund revised projected growth for both Taiwan and the global economy at large downward. The report cites factors such as raising trade barriers and a slowing manufacturing sector.
In response to the new projection, President Tsai Ing-wen has said that Taiwan’s economy will maintain steady growth thanks to growing domestic demand and investment from Taiwanese businesses bringing their operations back to Taiwan.
The International Monetary Fund’s new figures are around half a percentage point lower than the prediction put out by the government’s statistics office. Asked about this gap, Statistics Office Director General Chu Tzer-Ming said the office uses a different model for its projection. He said he is confident that Taiwan’s economic growth will exceed the International Monetary Fund’s prediction.