Consumer confidence in Taiwan has fallen amid protests against a trade in services agreement with China. The protestors have been occupying the legislature since last week.
According to the latest data released by National Central University’s Research Center for Taiwan Economic Development on Thursday, Taiwan’s consumer confidence index dropped to 80.96, the lowest level since April 2010.
Head of the research center, Wu Dachrahn, said a number of factors have dampened consumer index since the Lunar New Year.
“Not long ago, the US Federal Reserve announced the tapering off of its QE program. This is an international factor that has an impact. China’s PMI (purchasing managers index) was under 50 for two months in a row," he said. "These negative factors have affected confidence in stock investment and the economy.”
Wu said that the survey was conducted during the protests, so all the sub-indices were affected. However, he said the index is still above 80, which is better than expected.
In related news, the National Development Council announced that Taiwan's monthly business indicators for February flashed a "green light". A green light means that the country is on a path of steady growth. The council said that the global economy is recovering. But it also said that Taiwan needs to be wary of the risks brought by the US tapering of its QE program and China’s slowing economy.