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KMT, TPP to seek cuts to government's 2025 budget plan

01/14/2025 06:44 PM
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The Executive Yuan. CNA file photo
The Executive Yuan. CNA file photo

Taipei, Jan. 14 (CNA) Lawmakers of the opposition Kuomintang (KMT) and Taiwan People's Party (TPP) said Tuesday that they planned to demand spending cuts from the government's 2025 budget proposal during cross-party negotiations Wednesday.

The budget proposal, which the Cabinet approved last August, set government spending for the fiscal year 2025 at NT$3.1325 trillion (US$94.85 billion) with projected revenues of NT$3.1534 trillion -- both record highs -- working out to a surplus of NT$20.9 billion.

According to the plan, social welfare will continue to account for the largest share of the government's budget in 2025, followed by spending on education, technology and culture.

The proposed budget also includes NT$647 billion in defense spending, a slight decrease from 2024, accounting for 2.45 percent of Taiwan's projected 2025 GDP.

The budget plan, however, has languished since being sent to the opposition-controlled Legislative Yuan, prompting lawmakers to extend the current legislative session from its original end in December to Jan. 21.

As the parties prepare to enter budget negotiations on Wednesday, media outlets reported that the KMT will demand the elimination of multiple government ministries' media budgets, which they contend are used for political purposes.

Asked on Tuesday about the rumors, Lin Szu-ming (林思銘), secretary-general of the KMT's legislative caucus, said the party believes in "strict [budgetary] oversight" and will "cut what needs to be cut."

Meanwhile, KMT caucus whip Fu Kun-chi (傅崐萁) said he will seek to freeze NT$1.8 billion in funding for the Narwhal, Taiwan's first domestically-built submarine prototype until it has passed further testing.

The smaller TPP, which controls eight seats in the 113-seat Legislature, compared to 54 seats for the KMT and 51 seats for the Democratic Progressive Party (DPP), also said Tuesday that it had proposed NT$206.1 billion in cuts and NT$97.4 billion in spending freezes in the government's proposal.

Responding to the threatened cuts, a Cabinet official, speaking on the condition of anonymity, urged the Legislature to review the budget plan "rationally" and to maintain "healthy channels of cooperation" with the government.

"The nation's development depends on cross-party cooperation," the official said, adding that Premier Cho Jung-tai (卓榮泰) had asked ministries to clearly explain why their proposed budgets are necessary.

Cho has also made clear that he accepts "reasonable oversight" from the Legislature in terms of the budget's implementation, the official added.

(By Lai Yu-chen and Matthew Mazzetta)

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