The finance ministry says that the National Financial Stabilization Fund will be used to stabilize Taiwan’s stock market until at least mid-October. That’s amid speculation that the Federal Open Market Committee of the US Federal Reserve may announce a hike in the interest rate this week.
The ministry said it would keep an eye on the interest rate and possible effects any change would have on global markets.
Deputy Finance Minister Wu Tang-chieh said that people have been discussing the possible rise in the interest rate for some time and the uncertainty has affected global markets. He said once an announcement is made, it may end up even having the positive effect of alleviating investors’ anxieties.