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Taiwanese lawmakers approved the government’s 2026 annual budget on Friday following a historic delay, passing the measure just days before parliament expects to receive next year’s spending proposal.
The breakthrough follows months of political deadlock between President Lai Ching-te’s ruling Democratic Progressive Party and opposition parties, who hold a parliamentary majority and heavily scrutinised general spending, particularly regarding defence expenditures.
Opposition lawmakers ultimately agreed to pass the spending plan after cutting NT$48 billion (about 1.6 per cent) from the original proposal, which previously slated overall expenditure at just over NT$3 trillion ($94 billion).
The vote resolves the longest annual budget delay in Taiwanese history, concluding nearly eight months after the original approval deadline.
To expedite passage, opposition leaders pared down proposed amendments from over 1,700 to roughly 40 or 50.
Kuomintang caucus leader Fu Kun-chi framed the compromise as a gesture of “utmost goodwill,” stating, “I have devoted myself wholeheartedly to this effort, hoping that the nation can move forward and the people can lead better lives.”
Despite the unprecedented eight-month impasse, the dispute did not trigger a government shutdown.
Under Taiwanese law, delays roll over the previous year’s expenditure plan automatically, allowing public services and existing programmes to operate uninterrupted throughout the negotiations.
