Cho, ministers outline impact if Cabinet general budget proposal fails

Taipei, Jan. 8 (CNA) Premier Cho Jung-tai (卓榮泰) on Thursday said that the central government would face a NT$300 billion (US$9.5 billion) shortfall if the Legislature does not approve the Cabinet's general budget proposal.

Lawmakers from the Kuomintang (KMT) and the Taiwan People's Party (TPP), who together hold a combined majority in the Legislature, have said they will not approve the proposal until the Cabinet allocates funds for salary raises for active-duty military personnel and pension increases for public school teachers and civil servants.

Although the Legislature passed amendments last year making such raises mandatory, the Democratic Progressive Party (DPP) government has requested constitutional interpretations, which are still pending.

At a news conference with 11 Cabinet members, Cho said the central government would be blocked from accessing NT$299.2 billion in funds earmarked for new initiatives (NT$101.7 billion), running expenses and continuing programs (NT$180.5 billion), and the First and Second Reserve Funds and the Disaster Reserve Fund (NT$17 billion).

According to the Directorate-General of Budget, Accounting and Statistics, the remainder of the NT$3.03 trillion general budget that can be tapped will be used to fund personnel costs and established programs.

Meanwhile, the Ministry of National Defense would suffer the highest funding shortfall, NT$75.2 billion, Cho said.

Vice Defense Minister Hsu Szu-chien (徐斯儉) said that the potential funding shortfall would negatively affect the military's efforts to build deterrence against China, including the acquisition of Harpoon missiles and M142 High Mobility Artillery Rocket Systems (HIMARS), describing HIMARS as the weapons the Chinese People's Liberation Army is "most alert to."

It would also affect required overseas training for F-16V fighter jets that Taiwan has purchased from the United States, as well as the strategic reserves of parts and components for the country's Mirage 2000 jets, Hsu said.

Cho noted that it has been over four months since the Cabinet submitted the budget proposal to the Legislature for review.

"We are in a new year, but the general budget has not even advanced to committee review. This is a first in the constitutional history of our country," he said.

Cheng Li-wun (鄭麗文), chairperson of the KMT, told reporters Monday that repeated calls by Cho and President Lai Ching-te (賴清德) were "missing the point."

She urged the Cabinet to first earmark salary raises for military personnel in its budget proposal in accordance with legislation passed by the Legislature and refrain from creating unnecessary social division.