Archive · 15 Aug 2026
Taiwan parliament passes delayed budget, preserves drone defence spending
Taiwan is an island that has its own government and military.
Each year, the government needs money to pay for schools, roads, hospitals, and the military.
The people who approve this money are called lawmakers, and they meet in parliament.
This year, the opposition parties had more lawmakers than the ruling party, and the two sides argued a lot.
Because of the arguments, the budget was approved very late—later than ever before.
The budget includes money for drones, which are unmanned flying machines the military wants to use for defence.
Lawmakers cut some other spending, but the drone money was kept in full.
Taiwan wants to use the drones to help protect the island.
Taiwan's president, Lai Ching-te, said politics should not stop the country from working normally.
Next year, the government plans to spend 16% more on defence.
Taiwan's opposition-controlled parliament approved this year's government budget late on Friday after a record delay.
Lawmakers cut T$48 billion from the original T$3.034 trillion proposal, but US$63.4 billion earmarked for drones passed without cuts.
President Lai Ching-te said budget review should return to principles of professionalism, reasonableness, and proportionality.
The cabinet will formally propose next year's budget on Thursday, including a 16% annual rise in defence spending.
KMT caucus whip Fu Kun-chi said opposition parties showed 'great goodwill' in approving 98.4% of the general budget, but urged the government to respect opposition-passed legislation.
- Who
- Taiwan's opposition-controlled parliament, President Lai Ching-te, and opposition parties led by the Kuomintang
- What
- Approved this year's government budget after a record delay, cutting T$48 billion in spending but keeping US$63.4 billion in drone defence funding intact
- When
- Late on Friday, August 15
- Where
- Taiwan
- Why
- To allow the state to function normally after repeated clashes between opposition and ruling parties delayed the legally required budget approval
Government and ruling party view
Opposition parties view
Budget review and spending cuts
Government and ruling party view
President Lai Ching-te said budget review should return to professionalism, reasonableness, and proportionality, and that political divisions should not affect the normal functioning of the state.
Opposition parties view
Opposition parties said cuts were needed to stop wasteful spending and approved 98.4% of the general budget, claiming they showed 'great goodwill' to let the country function normally.
Disputes over opposition-passed legislation
Government and ruling party view
The government refused to enact some legislation passed by the opposition, with the premier calling opposition-backed local government spending plans fiscally unsound.
Opposition parties view
KMT caucus whip Fu Kun-chi said the government must respect legislation the opposition has passed in parliament.
- Proposed budget
- T$3.034 trillion ($94.79 billion)
- Approved budget cut
- T$48 billion
- Drone programme funding
- US$63.4 billion, passed without cuts
- General budget approved
- 98.4%
- Next year's defence spending rise
- 16%
- President
- Lai Ching-te
- Exchange rate
- $1 = 32.0070 Taiwan dollars