To: TobagoJack who wrote (32898 ) 5/2/2003 11:44:59 PM From: elmatador Respond to of 74559 Rake in the cash: Taiwan $1.4bn package to combat Sars By Kathrin Hille in Taipei Published: May 2 2003 14:51 | Last Updated: May 2 2003 14:51 Taiwan's legislature on Friday passed a T$107.8bn ($1.4bn) package of emergency measures aimed at tackling the rapid spread of Severe Acute Respiratory Syndrome (Sars) and its feared damage to the economy. After months of partisan quarrels, ruling and opposition parties agreed on an economic stimulus package worth T$57.8bn designed to mitigate unemployment. The money is to be spent on a number of public construction projects. Only hours later, legislators also passed a T$50bn emergency package that the cabinet had hammered out only Wednesday. Part of the funds will be spent on subsidies and tax rebates for the hard-hit tourism industry. The money is budgeted to cover quarantine costs at hospitals and schools. The green light for the funds came after the government reported five more deaths in Taiwan from the infectious disease, raising the country's death toll to eight, and said probable infections have risen to 100. JP Morgan reduced its GDP forecast for Taiwan to 2.7 per cent, the second downgrade in a month. The revised forecast assumes an outright GDP contraction of one per cent quarter-on-quarter, the bank said in a research note. "There remains downside risk to the new forecast, especially the assumption that Sars will be under control by mid-year." Local thinktank Taiwan Research Institute has estimated the disease could shave off up to 1.57 percentage points of this year's growth, originally forecast at 3.5 per cent. The United States has issued a travel advisory for Taiwan, government spokesman Lin Chia-lung told reporters. The World Health Organization now defines Taiwan as an affected area, the same category as China, Hong Kong, Singapore and Toronto, due to local transmission reported. Christine McNab, WHO spokesperson, stressed:"It is mainly Taipei city we are concerned about, as most cases of infection are concentrated there". The accelerating transmission, following a mass outbreak of the infectious disease among hospital workers last week, has forced authorities to concentrate on local prevention work. Until recently, government officials mainly stressed the need to protect the island from a danger looming across the strait, referred to Sars as a Chinese disease, and pointed to their stellar record of preventing a local spread as the result of democracy. "In contrast to them, we are very transparent", Health Minister Twu Shiing-jer told foreign journalists only a week ago. These voices have been all but silenced. Medical staff of Taipei Municipal Ho Ping Hospital on Friday mourned the death of Chen Ching-chiu, head of the nursing department, the night before. Ma Ying-jeou, mayor of Taipei, hailed her as the first hero who gave her life in the battle against Sars. "The most important thing now is to prevent that we get community infections following the spread in hospitals", Mr. Ma said. Borough wardens started to distribute bleach to residents, advising them to disinfect their homes. "Do not be afraid", Lee Lung-chou, borough warden in Taipei's Sungshan district, preached to his neighbours while he handed out plastic bottles with the light green liquid in it. At primary schools, children are now required to carry a daily updated record of temperature taken. After one child reported fever on Friday, Chung Hsiao Elementary School was the first school to close. Public buildings and companies have also introduced rigid controls. Analysts were still adjusting this week, as anybody who did not wear a surgical mask or declined to have his temperature taken was barred from first quarter results investor conferences. Many meetings were cancelled and replaced by teleconferences. Now, all eyes are on companies in the Hsinchu Science Park, Taiwan's Silicon valley. The chipset designer Silicon Integrated Systems (Sis) saw its share price drop by more than four per cent after one of its employees was reported to have developed a fever. Staff were given a day off, the office building was disinfected, and Sars did not have a big impact on company operations yet, Sis said on Friday. "I hope it really was false alarm. Once the virus is inside the Hsinchu Park, we will see the horror stories of production disruptions come true", an official in the Ministry of Economic Affairs said. "This is not like China, where you can just replace a few hundred workers by calling in new ones waiting in the line. If Hsinchu with its high-tech personnel is affected, this will be a heart attack for Taiwan's economy."