Taiwan denies using swaps to intervene in currency market

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Taiwan's central bank has never used swaps to intervene in the currency mar...

FILE PHOTO: A man is seen reflected next of the Taiwan's Central Bank logo in Taipei, Taiwan March 24, 2016. REUTERS/Tyrone Siu

The U.S. Treasury, as part of its semiannual report on foreign exchange policies of major U.S. trading partners, said it was “concerned” by recent analysis from the U.S. Council of Foreign Relations “suggesting that Taiwan may have engaged in substantial undisclosed foreign exchange intervention in the swap market”.

The senior Taiwan central bank official, speaking on condition of anonymity, denied that swap market intervention took place. A second Taiwan central bank official told Reuters that they have “smooth communication channels” with the United States, and would continue to the dialog with them.

 

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