Periodic Essay

Taiwan’s banking sector reforms: retrospective and outlook

Abstract: The Taiwanese banking system has evolved significantly since the government amended the Banking Law in 1989 to promote internationalization and liberalization of the banking sector. Private banks now play a significant role in the financial system and many state-owned banks have been partially privatized. Despite much progress, Taiwan?s banking sector is marked by low profitability and excessive competition that are potential threats to the long-term health and stability of the financial system. This Asia Focus outlines the history of financial and banking reforms in Taiwan, analyzes problems that developed in the banking sector after liberalization, and evaluates current initiatives by regulators to address those problems.

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Bibliographic Information

Provider: Federal Reserve Bank of San Francisco

Part of Series: Asia Focus

Publication Date: 2016

Issue: May

Order Number: 3