Coronavirus: Taiwan to boost stimulus package to US$35 billion, donate 10 million face masks

President Tsai Ing-wen says island will provide masks and other supplies to ‘our allies and countries hit hardest by Covid-19’

Second round of stimulus measures will take total spending to more than NT$1 trillion, she says

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Taiwanese President Tsai Ing-Wen has announced additional spending to help counter the economic impact of the Covid-19 pandemic. Photo: Reuters

Published: 6:03pm, 1 Apr 2020Updated: 6:03pm, 1 Apr 2020

Taiwan dramatically upped its estimate for how much it would spend helping the economy deal with the impact of the coronavirus to about US$35 billion on Wednesday, and said it would donate 10 million face masks to the most needy countries.

Taiwan has reported 329 cases of Covid-19, including five deaths, winning plaudits for its early and so far effective measures to control the spread of the disease, especially compared to many of its neighbours. But, the export-reliant island’s economy has wilted in the face of the pandemic’s spread.

The government is already rolling out a stimulus package, and President Tsai Ing-wen said in total it would be spending NT$1.05 trillion (US$34.7 billion) including a second round of measures.

“We expect the scale of these two stimulus steps will in total reach NT$1.05 trillion,” she said from the presidential office.

Taiwan’s central bank last month cut its full-year economic growth outlook to 1.92 per cent from 2.57 per cent forecast in December.

But the virus fight has also taken on a diplomatic dimension for Taiwan, largely locked out of the international community due to pressure from Beijing, which considers the island part of its territory with no right to any of the trappings of a state.