Asean+3 Macroeconomic Research Office warns Asian economies face high risk from potential AI market correction

On Monday, October 5, 2026, the Asean+3 Macroeconomic Research Office (AMRO) published its 2026 Financial Stability Report, warning that South-east Asia, China, Japan, and South Korea are particularly vulnerable to a potential collapse in the artificial intelligence boom. The region is at the center of global AI supply chains and increasingly integrated into AI-related financial markets. AMRO estimates that a slowdown in AI demand could cut up to 1.5 percentage points from economic growth in 2027, currently forecast at 4.1 percent. The report highlights risks from high tech valuations, circular financing deals, and heavy concentration of AI in some equity markets.