Taiwan boosts investment

Taiwan boosts investment

TAIPEI (AFP): Taiwan is to invest T$20 billion (US$618.7 million) in Southeast Asia, mainly in Malaysia, following a visit by Taiwan Vice President Lien Chan to Kuala Lumpur last week, a business group leader said in remarks published yesterday.

"We prepare to form an investment company capitalized at 20 billion Taiwan dollars," said Liu Tai-ying, chairman of the ruling Kuomintang's powerful business unit.

Some $100 million may go to the Malaysian stock market, while the rest of the fund allocation is yet to be decided, he was quoted as saying by United Daily News.

"Malaysia is more stable than other Southeast Asian countries and it is an investment market," CDC spokeswoman Grace Fang said. Liu is also the chairman of CDC, which coordinates the establishment of the planned holding company.

Other than CDC, about 10 leading companies were expected to chip in, including Shin Kong Life Insurance, Fubon Insurance, China Steel, Winbond Electronics Corp. and KMT-affiliated companies, the newspaper report said.