Taiwan Stock Discussion

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Taiwan president rejects Cabinet resignations
(Kyodo) _ Taiwanese President Chen Shui-bian on Monday rejected the resignations of the island's premier and Cabinet, all but ensuring that the current Cabinet lineup will continue until May, when Chen steps down as president having served the maximum two-term limit.

Premier Chang Chun-hsiung led collective Cabinet resignations last Thursday in line with a precedent to tender Cabinet resignations en masse following legislative elections. Traditionally, the president appoints a new premier and Cabinet after parliamentary polls.

Taiwan's general election was held Jan. 12, while its presidential election is scheduled for March 22.

Chen said that any new Cabinet lineup would be followed by another round of resignations and appointments less than four months later, when Chen steps down.

Such frequent leadership changes "would inevitably affect government operations and political stability," Chen said in a press release.

In Taiwan, the premier oversees the Cabinet, which oversees day-to-day governance.
The main opposition Nationalist Party (KMT) has pressured Chang and a few ministers and other Cabinet officials to quit for reasons of poor governance. The ruling Democratic Progressive Party suffered a shocking defeat to the KMT in the general election, winning merely 27 seats to the KMT's 81 in the 113-seat parliament.

The next session of parliament will begin Friday.

Chang and his Cabinet are likely to clash with the KMT-controlled parliament, leading to gridlock in the run-up to the presidential election.

DPP presidential nominee Frank Hsieh is running a tight race against KMT frontrunner Ma Ying-jeou.
http://asia.news.yahoo.com/080128/kyodo/d8uem14g0.html