Taiwan is seeking to join the International Monetary Fund (IMF), a move that would help boost its financial resilience and global status. The self-governed island, with support from the U.S. and its allies, is also looking to participate in other international organizations like the U.N. World Health Organization and Interpol. However, China, which views Taiwan as a breakaway province, opposes these efforts and insists on representing Taiwan in international forums, leading to challenges for Taiwan’s inclusion in global organizations.
In 2020, former U.S. President Donald Trump signed legislation advocating for Taiwan’s membership or observer status in international organizations like the IMF. The U.S. State Department believes that the world stands to benefit from Taiwan’s expertise and resources in addressing global challenges. The U.S. has significant influence within the IMF, but China also holds considerable voting power, complicating Taiwan’s bid for membership. The U.S. continues to support Taiwan’s participation in international organizations where statehood is not required.
There are concerns that China could potentially launch a financial assault on Taiwan to force its surrender, in addition to military threats. Analysts warn of a possible economic and cyber war by China, prompting Taiwan to seek IMF membership as a precautionary measure. Joining the IMF would provide Taiwan with access to emergency funds to defend itself in case of financial instability. The U.S. House has passed a bill directing the U.S. to advocate for Taiwan’s IMF membership, reflecting bipartisan concern over Beijing’s increasing threats to Taiwan’s security.
Rep. Patrick McHenry, a House Financial Services Committee chairman, emphasized the need to support Taiwan financially amid growing tensions with China. As one of the world’s most advanced economies, Taiwan’s inclusion in the IMF’s activities could bolster its financial security and strategic position. Despite not having a seat at the United Nations, Taiwan aims to secure membership in prominent international organizations to enhance its global influence and protect its interests. The push for Taiwan’s IMF membership highlights the complex geopolitical dynamics in the Asia-Pacific region and the ongoing power struggle between China and the U.S. for influence in the region.
