Manila, Dec. 7 (CNA) Taiwan and the Philippines signed a new bilateral investment agreement (BIA), making it the first updated investment agreement that Taiwan has signed with a country targeted by its New Southbound Policy.
Taiwan's representative to the Philippines Gary Song-huann Lin (林松煥) and Philippines representative to Taiwan Angelito Banayo represented their respective countries at the signing which took place in the Filipino city of Makati.
According to Taiwan's Minister of Economic Affairs Shen Jong-chin (沈榮津), the agreement is a win-win for the economic development of both countries.
The agreement lays out a legal foundation for Taiwanese investors in the Philippines and Filipino investors in Taiwan, which will function as a safety net should they encounter conflicts while doing business abroad, Allan Lin (林在良), president of Taiwan Association Inc. Philippines said.
While the terms of the agreement have not been made public for the time being, a source familiar with the matter previously revealed that it puts in place mechanisms that make investments more transparent and the treatment of investors fairer, including provisions on how investors can seek government assistance when they run into trouble.
Taiwan and the Philippines previously signed a BIA in 1992. Given that markets have drastically changed in the two and a half decades since, the new agreement is completely different, Gary Song-huann Lin said.
It is the ministry's hope that similar BIAs can be signed with other countries that are the focus on Taiwan's New Southbound Policy, such as Vietnam, Thailand, Malaysia, Indonesia and India.
(By Emerson Lim and Kuan-lin Liu)