Taiwan’s infrastructure plan estimated to bring 0.1% GDP growth a year – 15 May 2017

  • Taiwan government’s eight-year TWD880bn (USD29.4bn) infrastructure plan, which is currently under legislative review, will bring 0.1% GDP growth and create 40,000 to 50,000 jobs a year after taking effect, Taiwan’s National Development Council (NDC) said on 15 May 17.
  • The NDC announced the estimation in response to critics who have cast doubt on how much good the high-budget Forward-Looking Infrastructure Construction Project can do for the country’s economy and how many jobs it can create.
  • According to the estimation made by the Directorate-General of Budget, Accounting and Statistics using macroeconometric modeling, the eight-year TWD880bn infrastructure plan will add a total of TWD1.1tr to the country’s nominal GDP and TWD975.9bn to the real GDP in eight years, the NDC said. On average Taiwan’s GDP will grow 0.1% a year as a result of the infrastructure plan, the NDC said.
  • As for creating jobs, the NDC said the infrastructure plan will infuse an average of TWD110.31bn every year from 2017 to 2024 and it’s estimated that 40,000 to 50,000 jobs a year will be created.
  • The NDC said the number of jobs projected to be created doesn’t include additional job opportunities expected to be generated after the completion of the industrial development projects or construction projects, such as new railways.

External Link : http://www.taiwannews.com.tw/en/news/3162022