Bank SinoPac (永豐銀行) chairman Paul Chiu (邱正雄) yesterday called on the government to step up its efforts in talks with China to relax restrictions on the financial sector by excluding it from stalled service trade negotiations.
Chiu’s remarks came the day before Financial Supervisory Commission Chairman William Tseng (曾銘宗) is to lead a team to Beijing to meet his Chinese counterpart in a bid to help Taiwanese insurers, banks and brokerages expand their presence in China.
The meetings are to be held from today until Saturday.
“It is worth a try to open discussions about the possibility of separating regulatory easing for the financial services sector from the talks over a service trade agreement with China,” Chiu, a former vice premier, told reporters after a groundbreaking ceremony for a building for food and agricultural safety inspection at Greater Taichung’s National Chung Hsing University.
The lender has donated between NT$250 million and NT$300 million (US$7.87 million and US$9.44 million) to finance the building’s construction.
More people support the deregulation of the financial industry for cross-strait development compared with other sectors, Chiu said, adding that both governments should consider independently lifting the restrictions on financial services providers.
Bank SinoPac — a banking arm of SinoPac Financial Holdings Co (永豐金控) — last year announced plans to sell 20 percent of its shares to China’s Industrial and Commercial Bank of China (ICBC, 中國工商銀行), which would allow the lender to use ICBC’s extensive network to serve customers in China and across Southeast Asia.
However, the deal will not make any real progress until the cross-strait service pact, which is still stalled in the legislature, takes effect.
Chiu said that growth in the output value of the nation’s service sector — including the financial services industry — has lagged its competitors over the past few years, which may hurt the nation’s economy over the long term.
In related news, Bank SinoPac opened two branches in Greater Taichung yesterday, with one also located at the campus of National Chung Hsing University, focusing on offering more e-financial services targeting students and young clients.
“The new branch fulfills the concept of virtual and physical integration service, with the company not ruling out opening more branches with a similar idea in the future,” said Ting Chen (陳亭如), Bank SinoPac’s head of electronic banking and integrated marketing.
POOR INTERNAL CONTROLS: Insurance Bureau Director-General Shih Chiung-hwa said the company is expected to get back on track while its chairman is suspended The Financial Supervisory Commission (FSC) yesterday fined Shin Kong Life Insurance Co (新光人壽) NT$27.6 million (US$939,415) for a reckless investment that endangered its solvency, and suspended its chairman Eugene Wu (吳東進) for poor supervision. The penalty is the second-highest in a single case after Nan Shan Life Insurance Co (南山人壽) was fined NT$30 million in September last year and its chairman Du Ying-tzyong (杜英宗) suspended for two years, the commission said. In three rounds of special and regular examinations conducted since last year, the commission found that Shin Kong Life had given too much power to an asset and liability management committee
Continental AG, which makes control units for Daimler AG cars, cannot pursue antitrust claims against a group of patent owners, including Qualcomm Inc, which are seeking royalties on telecommunications technology, a federal judge in Texas ruled. Avanci LLC, a licensing pool formed by Qualcomm, Nokia Oyj, Sharp Corp and other owners of patents on technology standards, is not breaching antitrust laws when it negotiates license agreements with automakers rather than the component makers, Barbara Lynn, chief district judge for the Northern District of Texas, said in dismissing the suit in a decision posted on Friday. The licensing group charges US$15 per vehicle
Sony Corp has cut its estimated Play Station 5 (PS5) production for this fiscal year by 4 million units, down to about 11 million, following production issues with its custom-designed system-on-chip (SOC) for the new console, people familiar with the matter said. The Tokyo-based electronics giant in July boosted orders with suppliers in anticipation of heightened demand for gaming in the holiday season and beyond, as people spend more time at home due to the COVID-19 pandemic. However, the company has come up against manufacturing issues, such as production yields as low as 50 percent for its SOC, which have cut into
HEAVY INVESTMENT: Moody’s affirmed the firm’s ‘Aa3’ rating with a ‘stable’ outlook due to its leading position in the industry and ability to match customer requirements Taiwan Semiconductor Manufacturing Co’s (TSMC, 台積電) revenue this year is expected to increase about 21 percent to NT$1.29 trillion (US$44.01 billion) from NT$1.07 trillion last year, driven by strong demand for advanced 5-nanometer and 7-nanometer chips mainly used in smartphones and high-performance computing devices, a Moody’s Investors Service report on Wednesday said. TSMC’s rate of revenue growth next year is to increase to 7.5 percent, the ratings agency said. The company, which supplies 5-nanometer chips for Apple Inc’s new iPad series, has introduced the advanced chips ahead of its competitors and gained a significant share of the market for the foundry industry’s