The Economic Times
Date: 22 Jul, 2015
By Reuters
TAIPEI: Taiwan’s government has agreed to inject T$14 billion ($450 million) into two of its
Taiwan’s government has agreed to inject T$14 billion ($450 million) into two of its biggest state-owned lenders, top officials at the two banks said on Wednesday, in a move aimed at supporting local banks.
biggest state-owned lenders, top officials at the two banks said on Wednesday, in a move aimed at supporting local banks.
The Finance Ministry is planning to use the National Development Fund to give T$7 billion each to the banks in 2016, said Bank of Taiwan President Hsiau Chang-Ruey and Land Bank of Taiwan Chairman Shiu Kuang-Si.
The finance ministry controls the island’s state-run banks as well as the development fund.
The two banks have been facing business expansion challenges in recent years, as they had submitted profits back to the government.
State-run banks, which control half of Taiwan’s banking assets, have seen their earnings squeezed by growing competition from private and foreign banks. [FULL STORY]
