Taiwan Economics Minister calls for confidence after record stock market drop

The fundamentals of the Taiwanese economy are still sound: Minister Shen

  1164
Investors in Taipei watching the Taiwan Stock Exchange index take a record one-day dive Thursday.

Investors in Taipei watching the Taiwan Stock Exchange index take a record one-day dive Thursday. (By Central News Agency)

TAIPEI (Taiwan News) - Despite the biggest one-day drop in the history of the Taiwan Stock Exchange, Economics Minister Shen Jong-chin (沈榮津) called on the public to have confidence in the economy, since its fundamentals were still sound.

Following a similar sharp fall on the Dow Jones, Taiwan’s main stock index lost 660.72 points or 6.31 percent to crash through the psychological barrier of 10,000 points to close at 9,806.11 Thursday afternoon.

Yet, looking at domestic demand and investment opportunities, with 35 Taiwanese companies deciding to invest more back in Taiwan due to the trade war between the United States and China, the conclusion must be that the fundamentals are still basically sound, the Liberty Times reported the economics minister as saying.

Just days ago, the International Monetary Fund revised Taiwan’s economic growth figures upward, predicting 2.7 percent for 2018 and 2.4 percent for 2019, Shen pointed out.

In addition, exports for the period from January to September had exceeded US$250 billion (NT$7.7 trillion), an increase of 8.1 percent compared to the same period last year and a new record, according to the economics minister.

Shen named numerous investment projects in Taiwan by both local and overseas multinational corporations, as well as government programs and price freezes for electricity and gasoline products.