The Legislature referred the central government’s general budget to committee review Tuesday, April 21, following successful party negotiations last Wednesday. Speaking at the review, Premier Cho Jung-tai (卓榮泰) said he hopes for an expedited review process so that the government can continue to implement their goals and support national development without delay. 

During negotiations, the Cabinet agreed to prioritize NT$71.8 billion (almost US$2.3 billion) for emerging projects, as well as to submit amendments within six months for military benefits and retired police and firefighter pensions.

Speaking to the Legislature, Cho reminded lawmakers that the general budget encompasses vast swaths of the government’s responsibilities from national security and public infrastructure to funding technological competitiveness. He urged lawmakers to accelerate the review process and provide reasonable allowances for government flexibility to address new problems which have occurred as a result of escalated international tensions. 

Speaking on the central government’s general budget, Cho said that due to amendments to the Allocation of Government Revenues and Expenditures Act, the central government will be facing a substantial deficit. This year’s budgeted revenue has decreased by 9.6% as compared to last year, while expenditures have increased resulting in a deficit of NT$172.7 billion (about US$5.5 billion). 

Combined with additional debt repayment and various special budgets, the government will need to pay out a total of NT$408.7 billion (US$12.9 billion), which it plans to do through extensive borrowing.

Despite the financial pressure, Cho said the government must maintain policy momentum, including public construction projects, tech and industry development, and welfare spending. 

The premier reiterated his hope that the Legislature will expedite the general budget review so that the government can better implement its agenda. 

Prior to Tuesday’s review, the Legislature agreed in cross-party negotiations to require the Cabinet to submit amendments within six months which would increase military personnel salaries and retired police pensions. The Cabinet has repeatedly asked for further review on these measures without offering a clear commitment, and requested a Constitutional Court interpretation and injunction of these measures over fairness and constitutional concerns.