Taiwanese Banks' New Southbound Policy Lending Grew by NT$251.2 Billion in First 5 Months, Australia Leads

According to the Financial Supervisory Commission (FSC), the total outstanding loans extended by Taiwanese banks to New Southbound Policy target countries reached NT$2.2506 trillion as of the end of May. This represents a monthly increase of NT$21.1 billion. Cumulatively, the lending growth for the first five months of the year reached NT$251.2 billion, achieving 314% of the full-year target of NT$80 billion.

Among the regions, Australia saw the largest growth, with an increase of NT$88.5 billion, followed by Singapore, Vietnam, and India. The FSC attributes this robust growth to the relatively active economic environment in these regions, which has stimulated corporate demand for credit.

Leading banks contributing to this growth include Taipei Fubon Commercial Bank, E. Sun Bank, Cathay United Bank, CTBC Bank, and Mega Bank. These institutions have focused on supporting Taiwanese supply chain movements and overseas corporate layouts through integrated services such as trade finance and cross-border capital management.

Notably, CTBC Bank has expanded its footprint by opening a branch in India's GIFT City and strengthening its presence in Vietnam and Australia. Similarly, Taipei Fubon Bank reported over 15% growth in lending balances for five consecutive years since 2021, driven primarily by strong performance in the Australian, Indian, and Indonesian markets.