Investor Presentaiton

Recent Taiwanese Economic Policies Public sector investment to stimulate the economy • Direct loans, tax relief, and export processing zones • "Job creation program" to attempt to create 44,000 new regional jobs • 'Special' measures of the Cabinet's Financial and Economic Task Force: - Guarantee to keep tax rates stable for 4 years - Rescind the 2% business tax on banks – Enlarge SME Credit Guarantee Fund and provide preferential loans - - Encourage the entry of international asset management companies to help speed up financial sector modernization - Assure reliable supplies of power and water - Allocate funds to ensure availability of land in industrial zones - Assist traditional industries and SMEs with upgrading and restructuring - Enhance local workforce skills and import foreign labor Source: ROC Government Reports CAON Taiwan Presentation 07-31-01 CK 55 559 Copyright © 2001 Professor Michael E. Porter

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