Taiwan c.bank deputy governor: Current wave of inflation is not short-term phenomenon

The current wave of inflation in Taiwan is not a short-term phenomenon and has fanned expectations for continued high inflation rates, the deputy central bank governor said on Monday.

"We have seen the consumer price index exceed 2% for nine consecutive months. This wave of inflation is not a short-term phenomenon," Yen Tzung-ta told lawmakers during a parliamentary session.

Economists widely expect the central bank to keep its policy interest rate unchanged this week, as the island's economy slows while global banking woes roil financial markets.