AI Investment to Drive Global Growth Through 2026, BofA Says

Why It Matters

AI‑driven capex is reshaping global growth trajectories, creating new opportunities for digital infrastructure while raising systemic risk for investors and policymakers.

Key Takeaways

• AI investment lifts US GDP to 2.4% by 2026
• China growth projected at 4.7% in 2026
• Bitcoin miners surge 300% by leasing AI data‑center capacity
• Capex‑led recovery may boost digital infrastructure and blockchain

Pulse Analysis

Bank of America’s latest market outlook underscores artificial intelligence as a macro‑economic catalyst, projecting U.S. GDP to climb 2.4% and China’s to reach 4.7% by 2026. The firm attributes this upside to a wave of AI‑related capital spending that is outpacing traditional consumption‑driven growth. By positioning AI as the engine of a new investment cycle, BofA signals that sectors tied to high‑performance computing, cloud services, and advanced analytics could see sustained funding, while fiscal stimulus and anticipated Fed rate cuts provide a supportive backdrop.

The AI boom is also reshaping the cryptocurrency mining landscape. Companies like IREN, Cipher Mining and TeraWulf have redirected a substantial portion of their GPU fleets to lease data‑center space for AI workloads, driving stock price jumps of 200‑300% in 2025. This hybrid model blurs the line between crypto mining and enterprise AI services, highlighting a broader trend where digital‑infrastructure assets become multi‑purpose revenue generators. Investors are therefore watching not just hash‑rate metrics but also the utilization rates of power‑intensive hardware across both blockchain and AI applications.

Despite the optimism, BofA warns of heightened volatility as economies adjust to AI’s uneven impact. A K‑shaped recovery could see tech‑heavy sectors accelerating while slower‑moving industries lag, complicating monetary policy and inflation forecasts. Emerging markets that have embraced digital foundations may capture early AI demand, especially if a weaker dollar and low oil prices persist. For capital allocators, the key challenge will be balancing exposure to AI‑driven capex opportunities against the risk of rapid re‑pricing in a landscape where productivity gains and systemic instability coexist.