The Government of Taiwan is seeking to accelerate the introduction of a new law aimed at reducing the number of financial institutions operating in the country by encouraging mergers.
At the same time, a cabinet committee charged with overseeing economic policy has ruled that securities trust companies, financial advisory companies and some banks should be allowed to manage equity investments for their clients. Institutional investors currently account for only 15% of stock market turnover and the Government sees their increased participation as an important way of reducing market volatility and also of attracting new investors.
The new Government was inaugurated in May 2000.
Financial Times
