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Central bank governor dismisses calls for rate cuts
Taiwan’s central bank governor Yang Chin-long (楊金龍) says there are currently no plans to lower interest rates.
The statement comes amid calls for the central bank to take its cues from the US Federal Reserve as to when it cuts interest rates and also to follow other global institutions, as they shift from tightening to loosening their monetary policies.
Speaking at a legislative committee hearing, Yang said if central banks around the world all move to cut interest rates, the spillover effects could impact Taiwan and his office would then need to evaluate domestic and external situations when making monetary policy decisions.
Yang said the central bank has long decided to go its own way - by raising interest rates by 12.5 basis points in March, but keeping its benchmark interest rates unchanged last month.
The central bank governor also stressed that any changes to monetary policy should not be solely contingent on the real estate market, and changes also take into consideration the effects on individuals and businesses.
