Reported about 1 year ago
As of May 2024, geopolitical risks between Taiwan and Mainland China have increased, leading to a further decrease in the financial sector's exposure to Mainland China. According to the latest statistics from the Financial Supervisory Commission, the financial sector's exposure to Mainland China by the end of May was 1.2969 trillion NT dollars, a significant decrease compared to the same period last year. The banking sector has seen continuous decreases in exposure for 12 consecutive quarters, while the property insurance sector has had zero exposure for 17 months. Overall, the exposure of the financial sector to Mainland China has significantly decreased, reflecting cautious attitudes towards credit and investments due to economic risks and high debt levels in the region. Insurance companies, particularly life insurance, have also reduced their exposure to Mainland China, largely due to changes in the political and economic situation there. The securities and futures industry has the lowest exposure among the three sectors, with only 12.827 billion NT dollars as of May. Overall, the financial sector has taken a prudent approach in managing its exposure to Mainland China amidst increasing risks.
Source: YAHOO