How China & Taiwan compete for diplomatic recognition

Chen Shui-bian denies promising more aid to the nation's Pacific allies

President Chen Shui-bian (陳水扁) yesterday dismissed allegations that he privately promised leaders of the nation's diplomatic allies aid packages during their talks on cooperative projects, saying that money was not discussed.

"The cooperative programs are different from the `Jung Pang Project' (榮邦專案) although they share a similar spirit"....

The "Jung Pang Project" refers to the investment project worth NT$7.5 billion (US$250 million) that Chen announced during his visit to Central America in October last year. The funding is allocated to help the development of the nation's 12 allies in Central and South America.

Chen made the remark in response to a report in yesterday's Chinese-language newspaper the China Times that Chen had promised the Solomon Islands US$10 million and the Marshall Islands US$3 million in aid during his visit.

This analysis describes how China & Taiwan compete for diplomatic recognition.