Key View

• We at Fitch Solutions have revised our forecast for Taiwan’s fiscal balance to come in at -2.1% of GDP, from our previous forecast of -0.5%.
• Weak economic activity amid the Covid-19 pandemic will weigh on revenue collection, which we forecast to shrink by 1.2% in 2020. At the same time, we expect government expenditure to grow by 12

Key View

• As many nations struggle to keep Covid-19 infection numbers down, Taiwan has benefited greatly from the close coordination between its hospitals and central government.
• Another reason for Taiwan’s success can be attributable to Taiwan’s well-renowned healthcare system.
• Drug pricing pressure will weigh on the pharmaceutical market

Key View

• Taiwan’s infrastructure competitive landscape is shared between domestic conglomerates as well as foreign players.
• We note a presence of European contractors, mainly working on projects in Taiwan’s burgeoning offshore wind sector. However, we observe the absence of mainland Chinese contractors.
• As a result of Taiwan’s reliance on

Key View

• We at Fitch Solutions have revised down our forecast for Taiwan’s real GDP to grow at 0.5% in 2020, from 1.9% previously, as private consumption is unlikely to recover over the near term.
• We also expect exports to fall amid global recession, although this would be partially negated by a decline in imports due to less need to import

Key View

• Taiwan's feed-in-tariffs will remain attractive to investors despite newly announced cuts for 2020, as falling technology and development costs offset lower rates on offer.
• We remain bullish in our forecasts for Taiwan's offshore wind power sector, and expect it to remain a global outperformer with strong government support and

Key View

• The Taiwanese telecoms regulator raised a total of USD4.55bn in its 5G spectrum auction. All mobile operators, bar one, had successfully bid for mid-band spectrum. The high prices highlights the urgency of operators to launch new services in light of stagnating mobile revenues.
• Our new forecasts envisage 26.8mn 5G connections by 2029

Key View

• Taiwan recorded real GDP growth of 3.4% y-o-y in Q419, from 3.0% y-o-y in Q319, which brought the full year growth figure to 2.7% y-o-y in 2019. We at Fitch Solutions now forecast Taiwan’s real GDP to accelerate to 2.9% y-o-y in 2020, up from 2.6% y-o-y previously.
• Despite an easing of trade tensions, we believe that investment