:::
:::

Taiwan's International Financial Competitiveness

In order to acquaint all quarters of society with the development of finance in Taiwan and benefit our users by providing easy access to financial information, the FSC presents related data in this "Taiwan's International Financial Competitiveness" section.
CategorySub-categoryDescriptionFurther information
Degree of internationalizationConvergence with International Financial Reporting Standards(IFRS)With the international trend towards full adoption of IFRS, on May 14, 2009, the FSC announced the IFRS adoption roadmap, containing two-phased mandatory adoption of IFRS and early use of IFRS. Phase I companies, including the listed companies and financial institutions, except for credit cooperatives, credit card companies and insurance intermediaries, would be required to prepare IFRS financial statements in 2013, and they would also be permitted to apply IFRS in 2012 when meeting specific criteria and approved by the FSC. Phase II companies, including unlisted public companies, credit cooperatives and credit card companies would be required to prepare IFRS financial statements in 2015 and would be permitted to apply IFRS in 2013.
  1. Roadmap toward IFRS adoption in Taiwan
  2. Comparison between IFRS and Taiwan’s GAAP
Share of aggregate market capitalization held by foreign investors (stock exchanges; OTC markets)Statistical Table 
Foreign denominated bonds outstandingStatistical Table 
Operating revenues of overseas branch units (incl. OBUs) of domestic banksStatistical Table 
Pre-tax earnings of overseas branch units (incl. OBUs) of domestic banksStatistical Table 
Measures to bring market maturity up to international standards
  1. Implementing Basel II.
  2. Implementation of Basel
  3. Financial Resilience of Taiwan's Banking Sector
  4. Developing fixed income market.
  5. Allowed foreign investors to engage in non-hedge futures trading and trade via omnibus accounts, and launched three new USD-denominated products.
  6. Developing market for foreign denominated bonds.
  7. Implementing risk-based capital (RBC) system to strengthen insurer solvency.
  8. Taiwan ranks No. 1 globally for insurance penetration. For insurance density, Taiwan ranks No. 20 globally and No. 3 in Asia, putting us on par with global standards.
Download

Download

Download

Download

Financial industry consolidation & foreign equity participationM&A deals since Sept. 2004

Foreign investment in the banking market

 
Ease of obtaining business loansOutstanding amount of SME loans by domestic banksStatistical Table 
Outstanding loans of domestic banks as percentage of GDPStatistical Table 
Bank soundnessAvg. NPL ratio of domestic banksStatistical Table 
Avg. NPL coverage ratio of domestic banksStatistical Table 
Avg. capital adequacy ratio of domestic banksStatistical Table 
Avg. ratio of Tier I capital to risk-weighted assets among domestic banksStatistical Table 
Avg. ROA among domestic banksStatistical Table 
Avg. ROE among domestic banksStatistical Table 
Bank efficiencyBank assets as share of GDPStatistical Table 
Financial services output as share of GDPStatistical Table 
Credit cards in circulationStatistical Table 
Aggregate credit card debtStatistical Table 
Banking units per 100,000 populationStatistical Table 
Stock market efficiency (ease of raising capital on stock market)Aggregate market capitalization (unit: NT$1 billion)Statistical Table 
Aggregate market capitalization as share of GDPStatistical Table 
Stock market trading volumeStatistical Table 
Stock market turnover rateStatistical Table 
P/E ratioStatistical Table 
Domestic companies with an exchange listingStatistical Table 
Domestic companies with an OTC listingStatistical Table 
Share of aggregate market capitalization held by foreign investorsStatistical Table 
Stock index volatilityStatistical Table 
Measures to strengthen protection of shareholders equity
  1. Implementing corporate governance.
  2. Tightened measures to prevent insider trading.
  3. Strengthened the powers of the Securities and Futures Investors Protection Center.
  4. Strengthened management of the use of proxies at financial institution shareholders meetings.
Download
Measures to implement financial institution transparency
  1. For more information, see the section on "Harmonization of ROC accounting standards with international standards."
  2. Itroduced requirement for financial institutions to make periodic disclosures of financial and operational information.
Download
Insurance efficiencyInsurance densityStatistical Table 
Insurance penetrationStatistical Table 
Corporate GovernanceLegal provisions to promote corporate governance, and implementation thereof
  1. Amended Securities and Exchange Act to provide explicit legal basis for implementation of corporate governance.
  2. Implementing system for independent directors and audit committees.
  3. Implementing Corporate Governance Assessment System.
  4. Oversaw formulation by the Taiwan Stock Exchange and the GreTai Securities Market of "Corporate Governance Best-Practice Principles for TSEC/GTSM Listed Companies" suited to conditions in Taiwan; encouraging domestic enterprises to improve corporate governance
Download
Enhancement of market transparency
  1. Established a "Market Observation Post System" to improve market information transparency.
  2. Working to harmonize ROC accounting standards with international standards.
  3. Oversaw efforts of the Taiwan Stock Exchange and the GreTai Securities Market to ensure that listed companies make prompt disclosure of material information, and that they make regular disclosure of financial information.
  4. Will eventually establish an online watchlist for information on companies with financial irregularities
Download
Table of Financial Holding Companies EstablishedFinancial Holding Companies in Taiwan 

 

Visitor: 49609   Update: 2017-08-16