MORE EVIDENCE NEEDED:The pickup in business climate was not interpreted as the beginning of economic recovery on concerns that Brexit might sap consumer demand

Taipei Times
Date: Jun 28, 2016
By: Crystal Hsu / Staff reporter

The government’s business climate monitor last month stood at “yellow-blue” for the second consecutive month, indicating that the economy has started to recover, but the pace is slow, the National Development Council (NDC) said yesterday.

The council’s Taiwan Business Indicators increased by three points to 20 last month, spurred by improving industrial production, capital equipment imports and manufacturing sales data, the council’s monthly report said.

However, the council did not interpret the increase as the beginning of recovery on concerns that Britain’s decision on Thursday last week to leave the EU, or Brexit, might wreak havoc on global financial markets and sales of consumer electronics.

“More evidence is needed to decide if the improvement is solid and stable,” NDC Director Wu Ming-huei (吳明蕙) told a news conference, adding that the marginal size of the pickup lends support to caution.     [FULL  STORY]