How should Asian central banks respond to the AI boom?

2nd September 2026

Growth in several Asian economies is running well above previous estimates of trend, driven by a surge in demand for semiconductors and other AI-related products. Yet inflationary pressures remain contained. For now, the best response is for central banks not to react aggressively to the strength of the upswing, but to continue monitoring for signs that the boom is generating broader inflationary pressures.

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