Taiwan’s c. bank expects CPI to rise less than 2%

Taiwan’s central bank expects CPI to rise less than two per cent this year and plans to gradually tighten policy to control inflation, Reuters reported on Wednesday.

 In February, CPI rose to a 19-month high of 3.08 per cent due to higher food prices during the Lunar New Year.

The government anticipates inflation to decrease, easing pressure. The central bank aims to maintain price stability for stable economic growth.

Governor Yang Chin-long will address parliament on Thursday. The bank kept its policy rate unchanged at 1.875 per cent in December and may consider rate hikes in the future.

The next rate-setting meeting is on March 21. The bank foresees better economic growth in 2024 and reported net selling of $2.77 billion in US dollars in 2023.