The effects of the war in the Middle East, which drove up energy prices sharply around the world, are being offset by substantial and sustained investment in artificial intelligence (AI). AI is boosting gross domestic product (GDP) particularly in countries with a semiconductor industry, such as Taiwan (where economic growth is forecast to reach 10.7 per cent) and South Korea (+3.3 per cent). The IMF is also more optimistic about the eurozone. GDP growth is expected to be 0.2 percentage points higher this year, at 1.1 per cent, and to reach 1.2 per cent next year (unchanged). For the region's largest economy, Germany, the organisation has even doubled its growth forecast for 2026 to 1.3 per cent.
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