Cathay lowers GDP growth forecast for second timeBy Kao Shih-ching / Staff reporterCathay Financial Holding Co (國泰金控) yesterday lowered its forecast for the nation’s GDP growth for a second time this year to 1.7 percent, from the 1.8 percent it predicted in June, due to weaker-than-expected economic performance in the first half of the year. Hsu Chih-chiang, an economics professor at National Central University and the head of a research team commissioned by Cathay Financial Holding Co, speaks at a news conference in Taipei yesterday. “Exports likely hit US$28 billion this month, which would raise the third quarter’s total exports to US$88 billion, beyond the government’s prediction of US$84 billion,” Hsu said. Cathay Financial expects the economy to recover next year with annual growth of 2.9 percent, which would be higher than the nation’s average GDP growth of 2.7 percent over the past 10 years, Hsu said. “While the government has predicted a V-shaped recovery in the economy, Cathay Financial tends to expect a swoosh-shaped rebound, which means that it would take a long while for the economy to get back to the pre-pandemic situation due to uncertainty,” Hsu said.

Source: Taipei Times September 21, 2020 15:56 UTC