President Lai Ching-te (賴清德) said next year's central government budget has doubled over a decade to NT$3.9266 trillion, citing 14.15% first-half GDP growth. He tied the budget to five priorities: family support, defense, AI infrastructure, a NT$10,000 universal cash payment, and regional balance.
Why Is This Year's Economic Growth Being Called a "Historic Opportunity"?
Taiwan's economy has posted three consecutive quarters of double-digit growth, President Lai Ching-te (賴清德) saidCITE:E7. He said the first quarter's growth rate was revised up from 14.55% to 15.43%CITE:E6, while first-half growth reached 14.15%, the strongest same-period performance in half a centuryCITE:E5. Second-quarter growth came in at a preliminary 12.93%CITE:E7. Lai added that the Directorate-General of Budget, Accounting and Statistics (DGBAS) has revised its full-year growth forecast from 9.64% to 11.05%, which would mark the highest reading in 39 yearsCITE:E8.
| Period | Growth Rate | Detail |
|---|
| Q1 | 15.43% | revised up from 14.55%CITE:E6 |
| H1 | 14.15% | strongest same-period figure in 50 yearsCITE:E5 |
| Q2 | 12.93% | preliminary estimateCITE:E7 |
| Full-year forecast | 11.05% | revised from 9.64%, DGBASCITE:E8 |
Next Year's Central Budget Has Doubled Over a Decade — How Are the Five Priorities Funded?
Total revenue in next year's central government budget was revised up to NT$3.9266 trillion, President Lai said after receiving a report on the "116th fiscal year central government general budget" on August 17CITE:E2. He noted that central government expenditure was about NT$1.9 trillion in 2016, meaning the budget's scale has doubled over the past decade, which he said also reflects Taiwan's national strength doublingCITE:E16. Lai framed the budget around five priority tasks for the coming yearCITE:E1.
How Much Is Budgeted for the New Family and Population Support Strategy?
The government earmarked NT$373 billion combined for the "Population Strategy — Family Support" program, President Lai saidCITE:E9. He said this includes a "growth allowance for children aged 0 to 18," which requires no legislation and has already been written into next year's budget so the government can disburse it directly to citizensCITE:E9.
What Does Taiwan's First-Ever Trillion-Dollar Defense Budget Reflect?
Next year's combined defense budget will surpass NT$1 trillion for the first time, reaching NT$1.1225 trillion, President Lai saidCITE:E10. He said the figure, which includes both the annual budget and special budgets, will continue to exceed 3% of GDPCITE:E10.
How Will the New Ten Major AI Construction Projects Drive Economic Transformation?
Taiwan's science and technology development budget will grow 12.7% next year to NT$229.2 billion, President Lai saidCITE:E11. Within that total, the "New Ten Major AI Construction Projects" receive NT$40.6 billion for continued investment in research, computing power, talent, and key technologiesCITE:E12.
What Do the Universal Cash Payment and Small-Business Support Measures Include?
The government will add NT$235.7 billion in expenditure next year to fund a universal cash payment of NT$10,000 per person, President Lai saidCITE:E3. He said the increase is possible under a balanced revenue-expenditure framework with zero real net borrowingCITE:E3, and described the payment as letting citizens share in "AI dividends"CITE:E4. Separately, Lai said the government will pursue legislative amendments to add NT$100 billion over the next eight years to support small and micro enterprises, through inclusive finance, expanded investment tax credits, and assistance accessing AI computing powerCITE:E13.
How Do Public Infrastructure and Local Government Funding Support Regional Balance?
Next year's total public infrastructure budget will reach NT$728.8 billion, including NT$147.2 billion for the "Balanced Taiwan" program, President Lai saidCITE:E14. He said central government transfers to local governments — covering tax revenue sharing, general subsidies, and project-based grants — will reach NT$1.3579 trillion, an increase of NT$192.9 billion from this yearCITE:E15.
| Budget Line | Amount | Source |
|---|
| Family support strategy | NT$373 billion | CITE:E9 |
| Defense (annual + special) | NT$1.1225 trillion | CITE:E10 |
| Science & technology development | NT$229.2 billion (+12.7%) | CITE:E11 |
| AI new ten major construction projects | NT$40.6 billion | CITE:E12 |
| Universal cash payment increase | NT$235.7 billion | CITE:E3 |
| SME support (over 8 years) | NT$100 billion | CITE:E13 |
| Public infrastructure | NT$728.8 billion | CITE:E14 |
| — of which Balanced Taiwan program | NT$147.2 billion | CITE:E14 |
| Central-to-local transfers | NT$1.3579 trillion (+NT$192.9 billion) | CITE:E15 |
What This Adds Up To
The figures President Lai presented on August 17 show a budget expanding in step with growth he described as historic: three straight quarters of double-digit GDP expansionCITE:E5CITE:E6CITE:E7 and a full-year forecast raised to 11.05%CITE:E8 accompany a central budget that has doubled in scale since 2016CITE:E16. Within that larger envelope, the trillion-dollar defense budgetCITE:E10, the NT$229.2 billion science and technology line with its NT$40.6 billion AI construction componentCITE:E12, the NT$373 billion family support programCITE:E9, the NT$235.7 billion cash paymentCITE:E3, the NT$100 billion SME packageCITE:E13, and the NT$728.8 billion infrastructure budget with its regional transfersCITE:E14CITE:E15 are the specific claims Lai placed against the same revenue growth.