TAIPEI, Jan 15 (Reuters) - Taiwan’s financial regulator said on Tuesday that it will raise the ceiling for local banks to give loans and make investments in China, in the latest sign that cross-strait banking is improving.
The Financial Supervisory Commission (FSC) estimated the move will allow Taiwan banks to add T$150 billion ($5.2 billion) in loans to their customers on the mainland and another T$170 billion in mainland investments, an official told a news briefing. No further details were given.
Currently, banks can only make such loans and investments up to one time their book value, according to an FSC statement.
Ties between the former political foes have improved to their best level in 60 years since President Ma Ying-jeou took office in 2008. ($1 = 28.9485 Taiwan dollars) (Reporting by Faith Hung; Editing by Kim Coghill)