State coffers are benefiting from a rise in tax revenue, but Taiwan’s tax-to-GDP ratio remains among the lowest in the developed world. Revisions to tax policy are bringing increased revenue into Taiwan’s national treasury, giving a boost to public finances as the government grapples with ballooning debt and anemic economic growth. Analysts and the government…

Expeditious reform of the public finance system is necessary to prevent mounting debt from crimping future economic growth. Taiwan’s public finances are increasingly strained by debt, aggravating the island’s fiscal woes as it struggles with flagging exports and weak GDP growth. Last year, the central government’s debt reached NT$5.28 trillion (US$161 billion). At 35.85% of…