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LY passes slashed 2025 government budget
Lawmakers have passed the central government's 2025 budget - albeit with cuts of nearly 7%. The final reading of the budget proposal comes after months of political wrangling between ruling and opposition lawmakers.
The Legislative Yuan approved the budget of NT$2.92 trillion for fiscal year 2025 after slashing and freezing NT$207.5 billion from the original cabinet-proposed plan. The cuts still leave the central government with a more than 6% increase in funding from 2024's budget of NT$2.85 trillion.
However, Premier Cho Jung-tai has criticized the KMT and the Taiwan People's Party for seeking cuts to this year's budget, claiming the move will hamper the central government's operations.
The NT$207.5-billion in cuts include the freezing of half of the planned NT$2 billion funding for the indigenous defense submarine program and a reduction of NT$100 billion in funding for Taipower. Other cuts see reductions in government agencies' travel and policy promotion budgets.
President Lai Ching-te has taken to social media to say the budget cuts will "affect the fundamental functioning of the nation."
