Taiwan premier targets GDP growth
TAIPEI, Taiwan (Reuters) -- Taiwan Premier Yu Shyi-kun set a new target of five percent economic growth in 2004 on the back of large infrastructure projects and increased foreign investment.
The new target tops an estimate of 4.70 percent growth in gross domestic product (GDP) presented to the premier by the Cabinet's Council of Economic Planning and Development on Wednesday.
In a statement sent to media late on Wednesday, Yu said the economy was recovering, pointing to an expected third-quarter rise in GDP of 3.6 percent compared with a contraction of 0.08 percent in the previous quarter. He also projected 4.67 percent growth for the fourth quarter.
Yu said growth would be spurred by private investment in public construction projects likely to total T$313 billion ($9.23 billion) between 2003 and 2005 and the over T$130 billion in foreign investment pledged during a recent conference.
A law passed in July that allows for the securing of real estate assets would generate property transactions totaling T$300 billion, also adding to growth, said the statement.
Taiwan's economy grew 3.59 percent in 2002, turning around from its first full-year contraction of 2.18 percent in 2001, when global demand for computers and networking equipment slumped.
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