Taiwan’s statistics agency has revised its 2022 GDP growth forecast down to 3.76%. That’s 0.15 percentage points lower than the previous estimate. Officials say the revision was the result of the COVID outbreak in May and inflation, which have impacted domestic consumption. They say the economy may pick up speed again in the third quarter, as Taiwan learns to live with the virus. The agency also predicted a GDP growth rate of 3.05% for 2023.
The statistics agency also revised its 2022 consumer price index forecast to 2.92%, up by 0.25 percentage points from the previous prediction. Officials say the rise reflects higher consumer prices for eating out and renting, and the transfer of rising manufacturing costs onto consumers. The agency expects the 2023 CPI figure to be lower, at 1.72%, reflecting more stable raw material prices.