Liquidity rules tightened
To enhance risk management, local banks must report liquidity coverage ratios to the Financial Supervisory Commission (FSC) and the central bank on a monthly basis starting on Jan. 1, the commission said in a statement yesterday.
In line with international standards, Taiwanese banks will have to maintain a liquidity coverage ratio of at least 60 percent beginning next year, the commission said, adding that the target ratio is to be raised by 10 percentage points each year, reaching 100 percent by 2019.
Banks with lower coverage ratios will be granted a grace period to improve their performance before the commission starts imposing fines, it said.
NT falls to seven-month low
The New Taiwan dollar has dropped to a seven-month low amid speculation of central bank intervention to weaken the currency and keep exports competitive with Japan and South Korea.
The NT dollar fell for a fourth day yesterday, dropping 0.2 percent to NT$30.538 against its US counterpart, just shy of its weakest level since March 31, Taipei Forex Inc data show.
“Taiwan and [South] Korea are among the biggest exporters in the region and they do compete in certain industries,” said Irene Cheung (張雅怡), a strategist at Australia & New Zealand Banking Group Ltd in Singapore.
Cheung said the yen’s depreciation is leading to weakness in the won and the NT dollar. On Monday, the yen fell to a seven-year low, extending losses after the Bank of Japan unexpectedly added to its stimulus late last week.
Motech slips into red
Solar cell firm Motech Industries Inc (茂迪) yesterday reported a loss of NT$739 million (US$24.21 million) for last quarter after its gross margin fell into negative territory, it said in a filing with the Taiwan Stock Exchange.
That compares with a net profit of NT$27 million in the second quarter.
As pricing in the solar sector remained volatile, Motech reported gross losses of NT$532 million in the July-to-September quarter, compared with gross profits of NT$291 million a quarter ago.
Gross margin slid to minus-13.76 percent last quarter from 5.52 percent in the prior quarter, the filing showed.
Xiaomi said to seek funding
Xiaomi Corp (小米) is in talks for a funding round that values the smartphone maker at between US$40 billion and US$50 billion, people familiar with the matter said.
The discussions are at an early stage and nothing is finalized, the sources said.
The world’s No. 3 smartphone maker had a financing round in August last year that valued the company at US$10 billion.
Beijing-based Xiaomi declined to comment. The valuation surpasses more established Asian electronics manufacturers including Sony Corp, which has a market capitalization of about US$21 billion, and Lenovo Group Ltd’s (聯想) US$16 billion.
Canadian gelato eyes Asia
James Coleridge, a Vancouver-based frozen dessert manufacturer, is planning to expand outside North America by tapping Asia’s huge market, including Taiwan, the business Web site BCBusiness said.
BCBusiness said in a recent report that Coleridge is planning to open its first international outlet in Los Angeles and the next move is to bring its frozen treats to several Asian markets, such as Taiwan and Singapore.
BCBusiness called Coleridge “the best-known gelato maker” in Vancouver.
The Eurovision Song Contest has seen a surge in punter interest at the bookmakers, becoming a major betting event, experts said ahead of last night’s giant glamfest in Basel. “Eurovision has quietly become one of the biggest betting events of the year,” said Tomi Huttunen, senior manager of the Online Computer Finland (OCS) betting and casino platform. Betting sites have long been used to gauge which way voters might be leaning ahead of the world’s biggest televised live music event. However, bookmakers highlight a huge increase in engagement in recent years — and this year in particular. “We’ve already passed 2023’s total activity and
Nvidia Corp CEO Jensen Huang (黃仁勳) today announced that his company has selected "Beitou Shilin" in Taipei for its new Taiwan office, called Nvidia Constellation, putting an end to months of speculation. Industry sources have said that the tech giant has been eyeing the Beitou Shilin Science Park as the site of its new overseas headquarters, and speculated that the new headquarters would be built on two plots of land designated as "T17" and "T18," which span 3.89 hectares in the park. "I think it's time for us to reveal one of the largest products we've ever built," Huang said near the
China yesterday announced anti-dumping duties as high as 74.9 percent on imports of polyoxymethylene (POM) copolymers, a type of engineering plastic, from Taiwan, the US, the EU and Japan. The Chinese Ministry of Commerce’s findings conclude a probe launched in May last year, shortly after the US sharply increased tariffs on Chinese electric vehicles, computer chips and other imports. POM copolymers can partially replace metals such as copper and zinc, and have various applications, including in auto parts, electronics and medical equipment, the Chinese ministry has said. In January, it said initial investigations had determined that dumping was taking place, and implemented preliminary
Intel Corp yesterday reinforced its determination to strengthen its partnerships with Taiwan’s ecosystem partners including original-electronic-manufacturing (OEM) companies such as Hon Hai Precision Industry Co (鴻海精密) and chipmaker United Microelectronics Corp (UMC, 聯電). “Tonight marks a new beginning. We renew our new partnership with Taiwan ecosystem,” Intel new chief executive officer Tan Lip-bu (陳立武) said at a dinner with representatives from the company’s local partners, celebrating the 40th anniversary of the US chip giant’s presence in Taiwan. Tan took the reins at Intel six weeks ago aiming to reform the chipmaker and revive its past glory. This is the first time Tan
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