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Asian News

Taiwan Considers Foreign Debt Write-Offs

Saturday, July 07, 2007 12:14:50 AM

Taiwan's Vice President Annette Lu, left, listens to Dominican Republic's President Leonel Fernandez during their meeting at the National Palace in Santo Domingo, Wednesday, July 4, 2007. Lu kicked off a Latin American tour in the Dominican Republic, an ally rapidly increasing its economic and political ties with the island's diplomatic rival, China. (AP Photo/Adriano Rosario) TAIPEI, Taiwan (AP) - Taiwan is considering writing off or reducing the debts it is owed by some of its most impoverished diplomatic allies, an official said Saturday, as the island seeks to strengthen its diplomatic position in Africa and Latin America.

Taiwan and rival China split amid civil war in 1949 and have long grappled for diplomatic recognition around the world, with both sides routinely offering generous grants or other financial incentives to poor nations.

Taiwanese authorities are "seriously studying" a debt reduction plan based on humanitarian concerns for the island's poorer allies, said Roy Wu, a Foreign Ministry spokesman.


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