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MOFA to help retrieve bad loans from former diplomatic allies

MOFA to help retrieve bad loans from former diplomatic allies

The Ministry of Foreign Affairs said Friday it will help domestic organizations to recover bad loans from nations that cut diplomatic relations with Taiwan.
MOFA spokesman Wang Chien-yeh his agency will not sit around seeing Taiwan's banking institutions or the non-profit International Cooperation and Development Fund struggling to retrieve loans granted to countries that severed ties with Taiwan.
Wang made the statement to defuse concern pointed out by the Legislature's Budget Center that the country incurred losses to the tune of NT$3.3 billion (US$100 million) from bad loans to nations that switched diplomatic recognitions from Taipei to Beijing. .
Wang said that it is possible to retrieve the bad loans as all the loans were made via Taiwan banks or the ICDF in contracts with clear terms.
Citing the example of Guiana, Wang said that after it ended diplomatic ties with Taiwan, the ICDF filed lawsuits in the United States against the government of Guiana, and Taiwan government managed to retrieve loans to the South American country eventually.


Updated : 2021-08-03 03:16 GMT+08:00