Want China Times
Despite rapid progress in cooperation between the financial sectors across the Taiwan Strait
since the signing of a financial cooperation agreement in 2009, challenges have emerged because of stalled relations in the last couple of years.
The halted legislative review in Taiwan of the trade-in-services agreement signed in 2013 has restricted the expansion of Taiwanese banks and brokerage firms in China. No new progress has been made over a proposed currency swap agreement that has been discussed between the two sides for some time.
Given these developments, Taiwanese and mainland financial regulators should explore new avenues and seek a breakthrough in cooperation in this area. One area worth trying is the capital market, since Taiwan has seen renminbi deposits exceed 300 billion yuan (US$48.35 billion) in just two years but has not been able to increase the use of the funds for investment purposes. [FULL STORY]