IMF Warns of Slowing Asia-Pacific Growth as AI Boom Brings Both Support and Risk

For three days from October 20 to 22, on the banks of Shanghai's Huangpu River, the 2026 Sustainable Global Leaders Conference returns once again. Nobel laureates and Turing Award winners will take the stage to discuss the future and trends of technology, and the internet-famous professor who "rescues" people from anxiety and the era of involution, Michael McFarlane, will hold a live dialogue with Xiang Biao!

Seats are limited, so don't delay. Let us join together in this appointment for sustainability! [Click to register] The International Monetary Fund (IMF) expects economic growth in the Asia-Pacific region to slow this year and next, and warned that rising energy prices and the possibility of a cooling in the artificial intelligence (AI) boom could both test the region's economic resilience.

The Washington-based IMF said in its October Asia and Pacific Economic Outlook report that it expects the Asia-Pacific region's economy to grow 4.8% in 2026, down from 5% last year but above the 4.4% the IMF forecast in April. By 2027, growth will slow further to 4.4%.

The IMF raised growth forecasts for most advanced economies while lowering them for some countries facing higher inflation but not receiving a similar dividend from technology demand. These forecast adjustments underscore how strong demand for semiconductors, data centers and related technology products is helping some Asian economies withstand growing economic pressure.

However, the IMF said the gains are uneven and are mainly concentrated in economies deeply integrated into the global technology supply chain. "Think about countries like Bangladesh, Cambodia and Laos. They all need to import oil, and they have not gained much from the AI boom. So these countries are more vulnerable, and they also have less room for policy buffers," Krishna Srinivasan, director of the IMF's Asia and Pacific Department, said in an interview with Bloomberg, adding that economies that are susceptible to energy price shocks but less integrated into global supply chains face greater risks.