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. Taiwan says unlikely to provide loans to Ecuador
TAIPEI, March 22 (AFP) Mar 22, 2010
Taiwan on Monday all but ruled out providing loans to Ecuador, which has fallen out with China, for fear of undermining its own fast-warming ties with the mainland.

Ecuador says it has "unilaterally" ended talks with China's Eximbank on financing a hydroelectric station in the Latin American country, and threatened to seek financing from Taiwan instead.

However, Taiwan's foreign ministry said there was little likelihood of this happening, suggesting that President Ma Ying-jeou's administration would not risk its detente with Beijing.

"If Ecuador wants to utilise such loans in exchange for diplomatic ties, I think the likelihood would be very low," Vice Foreign Minister David Lin said in reply to a question in parliament. Lin did not provide details.

Ecuadoran President Rafael Correa on Saturday complained of "the mistreatment and the rudeness" that his country's negotiator had endured in the talks with the Chinese bank.

Ecuador recognises Beijing rather than Taipei as the legal representative of China. The mainland still considers Taiwan part of its territory and has threatened to take back the island, by force if necessary.

However, tensions have eased markedly since Ma took office in 2008 on a China-friendly platform and vowed to maintain a "diplomatic truce" with Beijing.

Only 23 countries, mostly developing nations in Africa, Latin America and the Pacific, maintain diplomatic ties with Taipei.

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