President Tsai Ing-wen said Feb. 13 that the government is assisting Taiwan’s small and medium enterprises respond to changing global market conditions by expanding domestic demand, fast-tracking industrial upgrades and improving the local business environment.
The 1.43 million resourceful and vibrant SMEs in Taiwan are the backbone of the economy as they comprise 97 percent of the private sector and employ nearly 9 million workers, Tsai said.
These businesses are the architects of Taiwan’s economic miracle and continue to spur growth and create opportunities, the president said. No stone will be left unturned in preparing SMEs to overcome such challenges as the trade war between the U.S. and China, she added.
Tsai made the remarks during a Lunar New Year reception with representatives from the local SME sector at the Office of the President in Taipei City.
According to the president, domestic demand is getting a boost via continuing implementation of the Forward-looking Infrastructure Development Program, offering tax breaks to working- and middle-class households, and providing subsidies for citizens to holiday in Taiwan.
The five-plus-two innovative industries initiative is also playing a central role in the process by maintaining the pace of industrial upgrades, Tsai said. It is complemented by the recently launched interministerial action plan and office aimed at removing commercial roadblocks and encouraging homebound investment from Taiwan firms based abroad, she added.
Such measures ensure the stable development of SMEs while strengthening their response capabilities and keeping them on the path toward healthier bottom lines and market shares, the president said.
A key plank in the president’s national development strategy, the initiative targets the high-growth sectors of biotechnology, green energy, national defense, smart machinery and Internet of Things, as well as two core concepts: the circular economy and a new paradigm for agricultural development.
The FIDP aims to meet Taiwan’s development needs for the next 30 years. It covers eight categories, including aquatic environments, child care facilities, food safety, green energy, railway development and urban-rural projects. (SFC-E)
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