Taiwan Research Institute sees 2.08 % GDP growth for 2019

Development of U.S.-China trade war will influence next 4 or 5 years: TRI

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The Taiwan Research Institute expects GDP growth of 2.08% for 2019 (photo by Toomore Chiang)

The Taiwan Research Institute expects GDP growth of 2.08% for 2019 (photo by Toomore Chiang) (By Wikimedia Commons)

TAIPEI (Taiwan News) – Amid the uncertainty caused by the trade war between the United States and China, the Taiwan Research Institute (TRI, 台綜院) is putting the country’s economic growth at 2.08 percent for this year.

As the situation and the prospects for the trade war were continuously changing, the TRI took a conservative stance, which might improve if the dispute died down, the Central News Agency reported. However, the trade war might also last another four or five years, according to TRI.

During the second half of 2019, the global economy might show some improvements, mostly due to a generous monetary policies by central banks unlikely to raise interest rates, the TRI said.

New rounds of tariffs however might cast a shadow over any likelihood of an economic recovery next year, experts predicted.

While the economy was estimated to grow by 2.08 percent in 2019, consumption would only increase by 1.98 percent due to public uncertainty over general economic conditions, according to the TRI forecast.