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CEPD says price stabilization to be main economic priority

The Council for Economic Planning and Development said yesterday that in this period of domestic economic adjustment amid slowing global economic growth and high inflation, the government's top priority will be stabilizing prices.
The CEPD said that domestic economic growth is expected to remain stable as the U.S. subprime crisis has for the most part passed due to the Federal Reserve's effective intervention measures, including lowering interest rates and pumping more liquidity into credit markets.
Many experts expect the U.S. economy to begin to rebound in the second half of this year, the CEPD noted.
With stable economic growth of up to 4.78 percent expected in Taiwan for this year, the CEPD said the government will make dealing with the more urgent problem of inflation its top priority.
The council noted that the wholesale price index in Taiwan is expected to increase by a whopping 5.9 percent this year, while the consumer price index is forecast to rise by 3.3 percent.
With rising oil and foodstuff prices, coupled with the increases in domestic fuel and electricity prices at the start of May and the fact that inflationary pressure is expected to increase, the CEPD said price stabilization to lessen the impact of these forces on the country's citizens has become "the government's most urgent task" at this stage.

Updated : 2021-09-21 16:10 GMT+08:00