Alexa
  • Directory of Taiwan

Economic Daily News: Mergers are a way out for Taiwan banks

Economic Daily News: Mergers are a way out for Taiwan banks

After efforts to promote mergers between government-controlled banks produced no results, the Financial Supervisory Commission said recently that it will shift its focus to promoting mergers between privately owned banks. The situation has highlighted the government's lack of fortitude with regard to its financial policy. There are currently 39 banks in Taiwan, and the combined assets of the eight government-controlled banks account for approximately 50 percent of the total. Of the four largest banks in Taiwan, only one is privately owned, and the total market share of the four largest banks is only 28.8 percent, well below the 40 percent in other Asian countries. Mergers are a necessary means of enhancing the competitiveness of banks and achieving the goal of transforming some of Taiwan's largest banks into regional banks. Despite the difficulties involved, Taiwan should work toward achieving mergers between government-controlled banks and privately owned banks. (Editorial abstract -- May 8, 2015) (By Y.F. Low)


Updated : 2021-09-17 19:29 GMT+08:00