Taiwan remained the fifth-largest net creditor in the world at the end of last year as the nation’s net international investment position (NIIP) reached a new high, the central bank said on Tuesday.
NIIP is the difference between a country’s external financial assets and its external financial liabilities.
At the end of last year, Taiwan’s external assets totaled US$2.492 trillion and its external liability was US$1.121 trillion.
Photo: Ritchie B. Tongo, EPA-EFE
These figures meant that Taiwan’s NIIP reached a record of US$1.371 trillion, up US$23.25 billion — or 1.7 percent — from a year earlier, the bank said.
External liability includes government and private debt, with external assets held by public entities and legal residents also taken into account for NIIP calculations.
The bank said that Taiwan’s NIIP trailed Japan’s US$3.7210 trillion, Germany’s US$3.1280 trillion, Hong Kong’s US$2.1528 trillion and China’s US$2.1503 trillion.
Hong Kong rose one notch in the rankings, replacing China as the third-largest net creditor worldwide as the territory’s assets rose and liability fell, the central bank said.
Taiwan’s net assets at the end of last year rose 10.5 percent from a year earlier, with life insurance companies holding more foreign securities, the bank said.
Taiwan’s net liability rose 23.5 percent, as the value of securities held by foreign investors expanded significantly, it said.
Last year, the TAIEX soared 22.8 percent from a year earlier, largely driven by ample liquidity, despite the COVID-19 pandemic, it said.
In addition to a high-flying equity market, the expanded external liability also resulted from an improved bond market, further pushing up the value of assets held by foreign investors, it said.
The US remained the largest net debtor in the world at the end of last year, with external liabilities hitting a new high of more than US$14 trillion, the central bank said.
STIMULUS PLANS: An official said that China would increase funding from special treasury bonds and expand another program focused on key strategic sectors China is to sharply increase funding from ultra-long treasury bonds this year to spur business investment and consumer-boosting initiatives, a state planner official told a news conference yesterday, as Beijing cranks up fiscal stimulus to revitalize its faltering economy. Special treasury bonds would be used to fund large-scale equipment upgrades and consumer goods trade-ins, said Yuan Da (袁達), deputy secretary-general of the Chinese National Development and Reform Commission. “The size of ultra-long special government bond funds will be sharply increased this year to intensify and expand the implementation of the two new initiatives,” Yuan said. Under the program launched last year, consumers can
Citigroup Inc and Bank of America Corp said they are leaving a global climate-banking group, becoming the latest Wall Street lenders to exit the coalition in the past month. In a statement, Citigroup said while it remains committed to achieving net zero emissions, it is exiting the Net-Zero Banking Alliance (NZBA). Bank of America said separately on Tuesday that it is also leaving NZBA, adding that it would continue to work with clients on reducing greenhouse gas emissions. The banks’ departure from NZBA follows Goldman Sachs Group Inc and Wells Fargo & Co. The largest US financial institutions are under increasing pressure
TRENDS: The bitcoin rally sparked by US president-elect Donald Trump’s victory has slowed down, partly due to outflows from exchange-traded funds for the token Gold is heading for one of its biggest annual gains this century, with a 27 percent advance that has been fueled by US monetary easing, sustained geopolitical risks and a wave of purchases by central banks. While bullion has ticked lower since US president-elect Donald Trump’s sweeping victory in last month’s election, its gains this year still outstrip most other commodities. Base metals have had a mixed year, while iron ore has tumbled, and lithium’s woes have deepened. The varied performances highlight the absence of a single, over-riding driver that has steered the complex’s fortunes, while also putting the spotlight
Twenty years after he was a young, struggling actor in Toronto, Thomas Lo (盧瑞麟) is now the one giving young Asian actors their big breaks. He just had to go to Hong Kong to do it. The Chinese Canadian has been the creative director of one of the territory’s biggest TV broadcasting companies for only a few years, but is already making original English-language content to reach viewers around the world. “It was a bit of a full-circle moment for me,” Lo said. “You see more Asians, but you’re still seeing the same Asians on screen, right? We’re looking for more opportunities
RSS