Taiwan said to ease exporter FX rule after record stocks exodus
The central bank has said that US dollar sales will no longer face daily limits, FX traders say
Taiwan's central bank is believed to have relaxed constraints on exporters selling US dollars in a move aimed at bolstering the local currency following a surge in foreign stock withdrawals that pushed the Taiwan dollar to its lowest point since April 2025 in October. The local currency experienced a 2 percent decline in October due to ongoing equity outflows.
The adjustment was more notable in one-month non-deliverable forwards, which are utilized for hedging currency fluctuations. These contracts surged as much as 0.4 percent to 32.537 per US dollar, after initially decreasing. Eddie Cheung, a senior emerging markets strategist at Credit Agricole CIB Hong Kong, noted that the news signals that the authorities might be less inclined to allow a depreciation of the Taiwan dollar.
The central bank contacted at least four banks on Monday morning in an uncommon move, though the duration of the new measures was not specified.
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