Taiwan to Loosen Reigns on Foreign Telecoms
TAIPEI, Taiwan, Nov. 17 -- Because of its desire to become part of the World Trade Organization, Taiwan has agreed to allow foreign investors to own 59.9 percent in firms offering fixed-line telephone or other common carrier services. This means that foreign investors will now be able to indirectly own up to 100 percent of a telecommunications firm in Taiwan, said Chien Jen-ter, head of the Directorate General of Telecommunications under the Ministry of Transportation and Communications.
Taiwan's cabinet will have a plan in place by the end of this year to lift the ceiling on direct foreign ownership in its telecommunications firms to 40 percent from 20 percent, which means that a foreign company could use companies that it already controls in Taiwan to take complete control of a telecommunications firm. Taiwan laws allow foreign companies to have majority ownership of firms in other economic sectors.
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