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Taiwan officials deny money from China behind stock market surge

Taiwan officials deny money from China behind stock market surge

TAIPEI (Taiwan News) – There is no evidence to suggest that money from China was behind the recent spectacular rise of the Taiwan stock market, government officials said Wednesday.
Taiwan announced it would allow China to invest in the island in a joint declaration issued after talks in Nanjing on April 26. However, a date for the opening up has not yet been announced, with government members saying they preferred gradual liberalization.
On April 30, the Financial Supervisory Commission announced its rules for allowing Chinese Qualified Domestic Institutional Investors to invest in Taiwanese stocks. Since then, the stock market has been rising steadily, achieving a surge of more 17 percent to close at 6,566.7 Wednesday.
Because the two sides had not signed a Memory of Understanding yet, Chinese investors were not allowed to buy Taiwanese shares yet, FSC Chairman Sean Chen said. For the time being, there was no evidence that Chinese money had turned up in Taiwanese stock investments, he said.
On the other hand, the nation’s top economic planner told lawmakers that even if Chinese investors were buying shares through overseas channels, the amounts were limited. Transparency and liberalization were the best policies, said Chen Tain-jy, the chairman of the Cabinet-level Council for Economic Planning and Development.


Updated : 2021-04-18 17:41 GMT+08:00