Sep 27, 2018CultureComments Off on Central Bank raises economic growth forecast
Taipei, Taiwan's Central Bank on Thursday raised its forecast for gross domestic product (GDP) growth this year to 2.73 percent, 0.05 percentage points higher than an earlier estimate in June.
The growth will most likely be driven by increases in domestic consumption as a result of stable employment, rising wages and the expansion of private and public investment, according to a report from the bank.
However, uncertainty about the global economy arising from growing trade friction between the United States and China is expected to weigh on economic momentum in the latter part of this year and next year, the bank said.
At its third quarterly policymaking meeting Thursday, the bank decided to keep key interest rates at the current level to allow for more a sustained economic recovery, the ninth consecutive quarter the bank has left interest rates unchanged.
The discount rate will remain at 1.375 percent, the rate on accommodations with collateral at 1.750 percent, and the rate on accommodations without collateral at 3.625 percent, according to the report.