Taiwan to provide funds for local firms to invest in Southeast Asia

Taiwan to provide funds for local firms to invest in Southeast Asia

TAIPEI (AFP): Authorities are ready to loan Taiwan businessmen funds to invest in Indonesia, Vietnam and the Philippines, a senior official said here.

Chou Yen, executive director of the Overseas Economic Cooperation Fund (OECF), said that an investor who has decided where to invest in any of the three countries can apply for funds provided by the OECF and the Indonesian, Vietnamese and Philippine governments.

"The financing is part of the assistance given by the government to investors in the three countries in line with the national 'southward' policy," Chou said Wednesday.

The policy will not be affected by a labor protest in the northern city of Medan in Indonesia which turned into an anti- Chinese riot earlier in the week.

Under the southward policy to boost Taiwan's ties with Southeast Asian nations, the government will increase economic and investment activities in the region, especially Subic Bay in the Philippines, Batam Island of Indonesia and Vietnam.

OECF officials said Taiwan will also set aside a US$15-million fund to help finance small and medium-sized enterprises in Costa Rica, and a $1 million fund for Nicaragua to support a small and medium-sized enterprise program there.

Taiwan will also offer a $15 million in aid for South Africa to develop its small farm program and will help Swaziland expand its airport and buy new aircraft, the officials said.

Taiwan President Lee Teng-hui will make his first-ever state visit to all four countries from May 4 to May 14.

The OECF will provide a $20 million soft loan to El Salvador, to help develop its power supply, June 1 when Premier Lien Chan there, the local press said.