Stabilization fund ends intervention after record 279 days

Taipei, Jan. 12 (CNA) The management committee of Taiwan's National Financial Stabilization Fund on Monday announced an end to its intervention in the stock market after its members reached agreement.

According to its latest financial statement, the fund invested over NT$12.25 billion (US$387.18 million) in the market during 279 days of intervention from April 9 to Dec. 31, 2025, the longest ever.

The intervention -- the ninth since the fund was established in 2000 -- was launched in response to U.S. President Donald Trump's proposed "reciprocal tariffs," which included a 32 percent levy on Taiwanese goods on April 2.

After the announcement of the tariffs, the Taiex, the benchmark weighted index on the Taiwan Stock Exchange, plunged 2,065.87 points, or 9.7 percent, on April 7, marking the largest single-day drop in the index's history, followed by another 772.4-point (4.02 percent) drop the next day to 17,391.76.

The fund's committee said Taiwan's economic fundamentals remain stable, supported by a strong export performance, prompting several international institutions to revise their forecasts of Taiwan's GDP growth upward. While risks such as geopolitical tensions and tariffs persist, the committee said they remain manageable.

Given that the stock market has continued to set new record highs, the committee unanimously agreed to end the intervention.

The committee said that the fund's advisory body will continue to monitor political and economical situations in the country and abroad so it is better positioned to authorize intervention when necessary.