Premier Lien Chan yesterday ordered Taiwan military forces to remain alert, saying there was no sign China would end its series of military manoeuvres.
Mr Lien said measures introduced to stabilise the economy rocked by Chinese intimidation, including the stock stabilisation fund, would remain in place as long as the 'non-economic factors' were affecting Taiwan.
He made the orders after hearing reports from various ministries and departments on the latest military and economic situation at a meeting of the cabinet's ad hoc decision-making group on the cross-strait crisis.
The Chinese military has scaled down its third wave of exercises in the lead-up to the Taiwan poll.
The Deputy Chief of General Staff, Tang Fei, told the cabinet meeting that no large-scale movements of the People's Liberation Army had been recorded during the current exercises, partly because of bad weather. Yet Taiwan's military authorities said there was no indication China would complete its drills in the near future.
'The situation is likely to continue for a period of time,' government spokesman Wu Chung-lih quoted the authorities as saying.