Maintaining price stability and checking inflation stemming from recently announced Taiwanwide electricity and gas price increases is a top priority for the ROC Cabinet, Premier Sean C. Chen said April 17.
“While inflation is a fact of life in any growing economy, there are ways to keep price increases under control,” Chen said. “These include adjusting interest and exchange rates, as well as adopting appropriate policy measures.”
Citing Cabinet-instigated price checks at traditional markets and retail outlets around the island as an example, the premier said this initiative sends a strong message to local retailers that unreasonable fluctuations will not be tolerated.
“The Consumer Protection Commission, Fair Trade Commission, and Ministry of Economic Affairs are all on the lookout for unusual price variations,” he said. “We have also communicated the government’s stance on this matter to major retailers.”
As part of its monitoring program, the MOEA is staging a series of meetings around Taiwan this month advising merchants on appropriate pricing policies. The ministry will also provide guidance on energy saving and cost controls.
Economists question the timing of Taiwan’s electricity and gas price rises, arguing that although necessary, they may let the inflation genie out of the bottle and jeopardize nascent economic recovery.
In a forecast released April 17, Taipei-based Chung-hua Institution for Economic Research revised downward Taiwan’s economic growth from 4.07 percent to 3.55 percent and raised the rate for consumer price increases from 1.48 percent to 1.93 percent. (JSM)
Write to Meg Chang at meg.chang@mail.gio.gvo.tw