The Taiwan government has vowed to release new rules in three months for the setting up of asset management companies AMCs in a bid to clean up the banking sector's mounting bad debt problem.
Foreign companies will be welcome to set up AMCs, says Vice Finance Minister Yen ching-chang, adding that it will be an absolutely profitable business. The initial capital required is estimated to be between NT$20 billion and NT$30 billion.
Yen says AMCs will not be restricted to the restructuring of bad debts in the banking sector, with managing bank assets also a possibility for AMC operators.
According to Taiwan's central bank, overdue loans held by domestic...