An AI bust could hit Asia’s powerhouse economies especially hard

The Business Times, carrying Bloomberg reporting, says the Asean+3 Macroeconomic Research Office (AMRO) estimates that a slowdown in AI demand could cut as much as 1.5 percentage points from the region’s economic growth in 2027, currently forecast at 4.1%. AMRO says a sharp correction could spread through trade and financial markets, though its lead economist said the warning signs were “not grave yet.”