Taipei - Taiwan on Friday issued a land and sea warning for Typhoon Sinlaku, which hit the Philippines this week with heavy rains, flooding and high winds.

Taiwan's Central Weather Bureau said it expected Sinlaku to hit north-eastern and eastern Taiwan over the weekend.

As of 9 am (0100 GMT) Friday, the centre of the storm was located 320 kilometres south-east of Hualien on Taiwan's east coast, the bureau said.

Taipei- Taiwan's cabinet on Thursday announced a 180-billion-Taiwan-dollar (5.6-billion-US-dollar) package aimed at stimulating the island's sagging economy and ailing stock market.

The package, introduced amid mounting criticism of the government of China-friendly President Ma Ying-jeou, included tax reforms, financial incentives for local industries, and measures to boost exports and investment, cabinet officials said.

Taipei- Taiwan's stocks plunged 3.19 per cent Thursday as investors lost confidence in the island's economic outlook, despite a government announcement of a
180 billion Taiwan dollar (5.6 billion US) economic stimulus package, dealers said.

The Weighted Price Index of the Taiwan Stock Exchange opened lower and continued its downward trend to close at 6251.95 points, down 206.06 points or 3.19 per cent from the previous trading session.

Taipei- The United States Thursday rejected requests for political asylum from three Taiwan-based Chinese pro-democracy activists, saying they should seek asylum in Taiwan.

The American Institute in Taiwan (AIT), the de-facto US embassy in Taiwan, made the decision one day after Cai Lujun and Wu Yalin climbed over the wall into AIT's compound in Taipei to seek asylum, for themselves and Chen Rongli, a third activist who remained outside the compound.

Taipei - Two Chinese pro-democracy activists, unable to get sanctuary in Taiwan, on Wednesday entered the de facto US embassy in Taipei to seek political asylum in the United States.

Cai Lujun, 40, and Wu Yalin, 49, jumped over the wall to gain entry into the American Institute in Taiwan (AIT) compound Wednesday afternoon to apply for asylum from Washington.

Taipei Taiwan is concerned about Paraguay's intention to recognize China after Paraguayan Foreign Minister Alejandro Hamed said that Asuncion will make a decision on diplomatic relations within months, a newspaper reported Wednesday.

According to the Liberty Times, Hamed said Tuesday in Brazil that Paraguay's new government has begun a new era for the South American nation's diplomacy, and one of its goals is to launch full relations with China.

"The new government will make a decision on this issue within a few months," the Liberty Times quoted Hamed as saying in Brazil's capital Brasilia, where he is preparing for President Fernando Lugo's visit to Brazil starting September 17.