AI-Fueled Taiwan Stock Rally Drives Bank Deposits to Record, Personal Loans Account for Over Half of Growth

An AI-fueled rally in Taiwan stocks has attracted foreign capital inflows and brought funds back into the domestic banking system, expanding both deposits and lending. The influx reflects not only enthusiasm for technology shares but also growing demand from individuals for bank financing to invest and allocate assets.

Total deposits at domestic banks set a monthly record in April. Personal loans increased by NT$183.8 billion from the previous month and accounted for more than half of the overall rise in lending, making them the main growth driver. The data show a marked increase in investors using loans to put money into the stock market amid buoyant trading in Taiwan shares.