Taiwan's economy shrinks 1.29% in third quarter

Taiwan's economy shrank a smaller-than-expected 1.29% in the third quarter from a year earlier, narrowing from a 7.5% decline in the second quarter, indicating the island's economy is poised to exit its worst-ever recession, according to wire reports Thursday. The government amended its growth forecast for 2009 to a contraction of 2.53% from a previous forecast for a 4.04% decline made in August.