Taiwan's second largest microchip maker United Microelectronics will lower its 1998 net profit forecast by about 30 per cent because of the sluggish semiconductor market, a local newspaper reported on Sunday. The Economic Daily News said United Micro plans to announce the full figures after its August 21 board meeting. United Micro was likely to lower its 1998 net profit forecast to around T$7 billion, compared with its previous forecast of T$10.019 billion, the paper said.

Sri Lanka takes over loans of textile firms: The Sri Lankan government has come to the aid of local textile firms by agreeing to pay off 4.5 billion Rupees ($67.9 million) in loans they owe to local banks, a minister said on Sunday. In the interest of the local textile industry the government took the decision to pay back their loans from treasury funds, minister for industrial development CV Gooneratne said The decision was taken to ease the financial difficulties faced bylocal textile manufacturers.

Philippine's central bank says not cutting overnight rates: The policy-making Monetary Board has decided not to cut its short-term rates in case there are further speculative attacks against the peso, central bank governor Gabriel Singson said on Sunday. The Board arrived at a conclusion that we'll not yet reduce interest rates. It is the feeling of the Board that there's still some pressure," Singson said. The Monetary Board, the central bank's policy making arm, held a special meeting late on Friday to discuss the forex climate.

Sri Lanka takeover code to be amended: Sri Lanka's Securities and Exchange Commission plans to amend the country's takeover and mergers code in a bid to strengthen its regulatory framework, the independent Sunday Times newspaper reported. The amended rules would apply to all takeovers and mergers in which the target company was a stock exchange listed firm and would include rules regarding mandatory offers in the case of indirecttakeovers.

Shanghai Tunnel absorbs design units: Shanghai Tunnel Engineering Holding Ltd, China's first listed construction company, has taken over two design institutes, the official Xinhua news agency said. No financial details were given but Xinhua said in a report issued late on Saturday that the move was aimed at strengthening the company's design capability. The two institutes -- the Shanghai Tunnel Engineering and Rail Communications Design Institute and the Shanghai Urban Planning Institute -- have taken part in the construction of subways and expressways, it said.

Bangla's UCL seeks to boost funding: Bangladesh's Union Capital Ltd, which rose from the ruins of the local branch of Hong Kong's Peregrine Investments, is trying to boost the country's sluggish capital market by mobilising funds at home and abroad, chairman Enam Ahmed Chaudhury said on Sunday.We are trying to convince the authorities of both private and public sectors to invest funds in the prospective capital market,"Chaudhury added.