Hsieh Cabinet sworn in, promises to liberalize economic policy

Taipei, Feb. 2, 2005 (CENS)--New Premier Frank Hsieh noted he would do his best to relax financial and economic policy, encourage enterprises to hire laborers, and expand employment subsidies to prevent domestic industries from hollowing out.

Hsieh made the remarks at a press conference last night after assuming his new position. Hsieh took the official seal from former Premier Yu Shyi-kun in a ceremony presided over by senior Presidential adviser Pen Ming-min.

Hsieh advocated Taiwan should set up a free special zone like Hong Kong. With the establishment of the free special zone, all the regulations concerning investments should be relaxed.

He said the heat of exodus of domestic enterprises would be somewhat quenched if the free special zone is established because mainland China, the largest relocation outlet for domestic firms, is facing the problem of unsteady supply of electricity and water.

Aiming at reducing unemployment rate, Hsieh said he would propose to the Legislative Yuan to increase employment subsidies to the enterprises that are willing to hire more workers.

The new Cabinet will give first administrative priority to taxation reform, improvement of national health insurance system, and enhancement of social security. He has instructed Finance Minister Lin Chuan to submit a taxation-reform report by the end of this month.

Besides economic development, the new Cabinet also promised to equally develop social justice and sustainable environmental protection policy.

As his political party--the Democratic Progressive Party failed to take a majority seat at the Legislative floor, Hsieh particularly asked his Cabinet ministers to take humility in promoting administrative policy through inter-party dialogues and negotiations.

In the meantime, the new legislators also voted for new speaker and vice speaker. The incumbent speaker Wang Jin-pyng and his pan-blue ally, David Chung, claimed victory in the legislative leadership race.

Wang defeated legislator Ker Chien-min, his contender from the ruling DPP, 123-101. The vice speaker race ended 122-101 with Chung slamming his Taiwan Solidarity Union rival, Huang Tsung-yuan.