- Taiwan's Cabinet has approved a record NT$1.1225 trillion defense budget for next year, marking an 18 percent increase from this year.
- The budget includes NT$691.9 billion for the Ministry of National Defense, NT$218.2 billion in special budgets, and NT$60.7 billion in nonprofit special funds.
- The ministry's plans include supplementary spending on drones and missiles, which had previously been unable to obtain legislative approval.
- The budget allocates NT$103.8 billion for military pensions and NT$47.9 billion for the Coast Guard Administration, with calculations mirroring NATO's method.
- The defense budget as a share of GDP declines from this year's 3.32 percent to next year's 3.01 percent.
- The proposed total budget is NT$3.9266 trillion, up NT$891.6 billion (29.4 percent) from this year's NT$3.035 trillion.
Taiwan's Cabinet has approved a historic defense budget of NT$1.1225 trillion (US$35.16 billion) for the upcoming year, representing an 18% increase from the previous year.
This budget allocation is designed to enhance Taiwan's military capabilities amid escalating tensions with China and to reinforce its defense commitments to the United States.
President William Lai has emphasized the importance of maintaining Taiwan's defense budget above 3% of GDP, with a long-term goal of reaching 5% by 2030.
The overall defense budget will account for 3.01% of projected GDP, based on the Directorate-General of Budget, Accounting and Statistics (DGBAS) forecast of NT$37.3 trillion for GDP.
The defense spending plan includes NT$691.9 billion for the Ministry of National Defense, NT$218.2 billion in special budgets, and NT$60.7 billion in nonprofit special funds.
Additionally, NT$103.8 billion is allocated for military pensions and NT$47.9 billion for the Coast Guard Administration.
The budget is expected to be submitted to the Legislative Yuan for review by the end of the month, following delays in passing this year's budget.
Comptroller Bureau head Hsieh Chi-hsien noted that the ministry's plans include supplementary spending on drones and missiles, which had previously faced legislative hurdles.
This budget reflects Taiwan's commitment to aligning its defense spending with NATO standards, as modeled by President Lai.
“The budget includes NT$103.8 billion for military pensions and NT$47.9 billion for the Coast Guard, with calculations mirroring NATO's method. It also funds supplementary spending on drones and missiles, previously blocked by the legislature.”
Taipei Times
