Neighbors’ easing is a good thing for Taiwan’s development: analyst
Taiwan can expect to benefit as easy money policies spur growth in the economies of other Asian countries, said a London-based investor yesterday.
Central banks in mainland China, India, Australia and other Asia-Pacific countries have cut rates and adopted other easy money measures this year in the bid to stimulate growth.
Taiwan stands to benefit from the rebounding economies as they renew demand for Taiwanese exports, Josh Crabb said yesterday in Taipei.
Crabb is head of Asian equities at Old Mutual Global Investors in the UK.
He was previously investment director for Prudential Asset Management in Hong Kong and Bankers Trust in Sydney.
On the impact of the mainland’s Asian Infrastructure Investment Bank (AIIB, ), Crabb said it is an extension of their “One Belt, One Road” ( ) initiative and will most benefit rail, harbor and other construction firms.
On the prospect of the U.S. Federal Reserve raising interest rates, Crabb said higher rates and a healthy U.S. economy are likely to benefit East Asian countries like Japan, but worsen economies with large U.S.-dollar-denominated debt burdens, such as Thailand.