Cap on mainland investments to be raised
Taiwan is expected to raise the cap on certain firms' investments in the mainland to 60 per cent of their net assets from the current 40 per cent in an attempt to further increase cross-strait economic exchanges.
Both Taiwanese President Ma Ying-jeou and Premier Liu Chao-shiuan said yesterday that the cabinet would announce the liberalisation measure during its weekly meeting tomorrow.
Presidential spokesman Wang Yu-chi said Mr Ma had consented to such a relaxation, which has long been demanded by companies seeking to further increase such investments.
Mr Wang said that under the initial plan firms with headquarters on the island, or multinationals with branches or subsidiaries in Taiwan, would have no further restrictions on making investments on the mainland. Only those with headquarters elsewhere would be capped at 60 per cent.
