Wed, Dec 26, 2012 - Page 13 News List

Liberalize stock markets, diversify products: TWSE

By Camaron Kao  /  Staff reporter

Taiwan’s stock markets should be more liberalized and the nation must learn from other countries to provide more diversified financial products, Taiwan Stock Exchange Corp (TWSE, 台灣證交所) chairman Schive Chi (薛琦) said yesterday.

In a speech at the Council for Economic Planning and Development, Schive said Taiwan should establish a trading platform with other stock exchanges, open up yuan transactions and develop more financial products.

Citing the practices of the US, Hong Kong, South Korea, Australia and Japan, Schive said the government should follow in their footsteps by combining the futures market and stock market.

“It is not necessary for Taiwan to have two markets,” he said.

Schive also said both Hong Kong and Singapore have opened up transactions in other currencies in their stock markets for companies to raise funds.

“Companies listed in Taiwan have need for the yuan, and local investors can use the yuan to buy stocks when the currency becomes commonly used,” he said.

According to the latest Global Competitiveness Report released by World Economic Forum, Taiwan was ranked 19th in terms of its development of financial markets and 23rd in its variety of financial products and services.

The Cabinet is to hold a meeting today to discuss measures to boost the stock market. Last week, the Financial Supervisory Commission said the Cabinet’s plan was aimed at improving stock market momentum, cutting transaction costs, offering more financial products to help companies raise funds, lifting the bourse’s international profile and attracting foreign investment.

This story has been viewed 2240 times.
TOP top