Taiwan announces CPI Increase, supports 4% pension hike

TAIPEI (TVBS News) — Taiwan's Executive Yuan's spokesman, Lin Tzu-lun, announced Friday (Jan. 5) that the Consumer Price Index (CPI) had risen by a yearly rate of 2.71% in December 2023.

Lin stated that the yearly CPI rate has reached the legal threshold over the past two years, and thus, the government supports an increase in stipends for retired military, civil, and education personnel, aiming for an increase of no less than 4%.

Emphasizing the legal steps taken in 2018, Lin assured that these individuals' fixed pension benefits would be adjusted, taking into consideration the rise of inflation.

The Executive Yuan has already allocated NT$4.4 billion in the 2024 central government budget as a reserve fund for price fluctuations, Lin said.

He added that the Executive Yuan has been in communication with the Examination Yuan and has initiated the necessary adjustment mechanisms, with a specialized assessment panel deliberating on the rate adjustment.

The government will actively complete the related processes, and the adjustments will be backtraced to Jan. 1, 2024, to ensure the quality of retired personnel's living standards, according to Lin.