Taipei [Taiwan], August 21 : Taiwan's defence spending is set to touch 3.32 per cent of the gross domestic product (GDP) next year, according to Premier Cho Jung-tai, as reported by Focus Taiwan.
Focus Taiwan noted that the Taiwanese Premier made the remarks on Thursday, highlighting that the planned budget increase underscores Taiwan's commitment to safeguarding national security.
As per Focus Taiwan, the proposed defence spending for the fiscal year 2026, after factoring in expenditures for veteran affairs and the Coast Guard, would touch NT$949.5 billion (US$31.18 billion), representing 3.32 per cent of GDP, Cho said at a Cabinet press briefing in Taipei.
Cho said that the new calculation method followed North Atlantic Treaty Organisation (NATO) standards. "We are demonstrating to the world and to our own people our determination and capability to safeguard national sovereignty and security," the Taiwanese premier said.
Under the same calculation, the proposed NT$949.5 billion would still require legislative approval, and represents an increase of NT$176.8 billion, or a year-on-year rise of 22.9 per cent, Hsieh Chi-hsien, head of the Comptroller Bureau at the Ministry of National Defence (MND), said at the briefing as reported by Focus Taiwan.
Even without taking into account veteran and Coast Guard expenses, the proposed budget for the MND alone will see a 20.1 per cent rise compared with 2025.
It was also reported by Focus Taiwan, referring to MND, that spending on military investment will increase by NT$23.2 billion, or 16.76 per cent, reaching NT$161.6 billion due to payments for arms purchased from the United States.
The calls for Taiwan to raise defence spending to at least 3 per cent of GDP have grown amid rising military pressure from China in recent years.
According to Focus Taiwan, the last time Taiwan's defence spending exceeded 3 per cent of GDP was in 2009, during the presidency of Ma Ying-jeou of the Kuomintang (KMT).
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