President Tsai Ing-wen unveiled Sept. 25 an NT$100 billion-plus (US$3.5 billion) initiative aimed at encouraging local firms to undertake overseas construction projects in Republic of China (Taiwan) diplomatic allies and New Southbound Policy nations.
Similar to official development assistance provided by the Organization for Economic Cooperation and Development, Tsai said the initiative comprises preferential loans and reaffirms the government’s commitment to supporting homegrown companies expand their global footprints.
The president made the remarks during an address at the World Taiwanese Chambers of Commerce annual assembly in southern Taiwan’s Kaohsiung City.
In addition to detailing government efforts in improving Taiwan’s business environment, Tsai commended WTCC for delivering an economic and trade white paper to the Vietnamese government—a milestone in engagement between Taiwan firms and the governments of Southeast Asian nations.
This cooperation is in line with the New Southbound Policy. A key component of the government’s national development strategy, the policy seeks to deepen Taiwan’s agricultural, business, cultural, education, tourism and trade ties with the 10 Association of Southeast Asian Nations member states, six South Asian countries, Australia and New Zealand.
According to the president, the government is standing shoulder to shoulder with Taiwan’s private sector, and has implemented a raft of measures targeted at further improving the local business climate. These include ensuring a stable supply of electricity and water, fostering talent cultivation through education reform, making land available for commercial projects and promoting regulatory easing.
At the same time, the five-plus-two innovative industries initiative is fast-tracking transformation of Taiwan’s industrial landscape, spurring job creation and boosting wages, Tsai said. These efforts are paying dividends as reflected by improvements in major economic indicators and positive responses in recent surveys conducted by several financial institutions, she added.
As Taiwan’s business environment continues to strengthen, the president said the time is ripe for local outfits to raise domestic investment through expanded R&D activity and greater production of advanced products.
The initiative, which is expected to be implemented by the Cabinet-level Office of Trade Negotiations, involves such agencies as the Ministries of Economic and Foreign Affairs, as well as the Public Construction Commission. It is currently with the Cabinet for review and scheduled for roll-out before year-end. (SFC-E)
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