NO PRESSURE:The central bank governor said that growth momentum in the nation would pick up in the second half of the year, making monetary stimulus unnecessary
Date: Jun 26, 2015
By: Crystal Hsu / Staff reporter
The central bank yesterday stood firm on its loose monetary policy stance for the 16th consecutive quarter — its longest streak without change — as the absence of inflationary pressure allows it room to help support the nation’s small and fragile economic growth.
Central bank Governor Perng Fai-nan (彭淮南) shrugged off a need for lower interest rates or a weaker currency, saying borrowing costs are cheap enough locally and that the New Taiwan dollar is more competitive than the won.
Perng made the remarks after the bank’s quarterly board meeting, in which it decided to keep the rediscount rate unchanged at 1.875 percent, the collateralized loan rate at 2.25 percent and the unsecured loan rate at 4.125 percent. [FULL STORY]