Taiwan under pressure to raise rates

The Central Bank of China, Taiwan's central bank, may be under pressure to increase interest rates for the first time since December 2000, according to news reports.

The central bank has failed to follow the US in raising interest rates recently, unlike in 2001 when it matched all eleven cuts by the Federal Reserve. With the discount rate now at a low of 1.375 percent, investment may now be at risk of flowing to higher yielding US dollar securities, according to Bloomberg.

The growing economy