The unemployment rate fell to a five-year low last month as companies such as AU Optronics Corp (
Without adjusting for seasonal changes, jobless rate dropped to 3.8 percent last month, down from 3.86 percent last December, according to a statement released by the Directorate General of Budget, Accounting and Statistics (DGBAS) yesterday.
Unemployment hasn't been below 4 percent since February 2001, when it was 3.76 percent.
Consumers in Taiwan and other Asian economies including South Korea and Hong Kong are spending more as job prospects improve, helping sustain economic growth that's been led by exports.
Taiwan's economy grew at the fastest pace in 18 months in the fourth quarter and the government last week lifted its forecast for expansion this year.
The number of people unemployed on the nation fell to 397,000 last month from 403,000 the previous month, the report showed.
The economy expanded 6.4 percent in the fourth quarter from a year earlier, beating most economists' forecasts, as electronics exports jumped and consumer spending increased.
AU Optronics, the world's third-biggest maker of liquid crystal displays for computers and TVs, said on Feb. 8 that sales last month climbed 75 percent from a year earlier and announced plans to lift capital spending this year by 19 percent.
Private investment may increase 2.4 percent this year following a 1.3 percent decline in last year, DGBAS said last Thursday.
Meanwhile, the economy also showed signs of slight growth last month with the index of leading indicators up 0.1 percent from December, when it posted a revised 0.5 percent month-on-month increase, the Council for Economic Planning and Development said yesterday.
The preliminary reading of the December index of leading indicators, used to predict the direction of the economy's movements in the coming three months, was a 0.6 percent month-on-month increase.
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