TAIPEI (TVBS News) — The Executive Yuan (行政院) approved the 2025 Central Government General Budget Proposal on Thursday (Aug. 22), allocating NT$647 billion to national defense, approximately 2.45% of GDP.
General Hsieh Chi-hsien (謝其賢) of the Ministry of National Defense Comptroller Bureau (國防部主計局) highlighted that the defense budget saw the largest increase due to these several ongoing construction projects reaching their peak.
The Executive Yuan announced total revenues of NT$3.15 trillion and expenditures of NT$3.13 trillion, with outstanding debts of approximately NT$680 million.
The budget includes NT$33.6 billion for health insurance financial assistance, NT$7.3 billion for anti-fraud measures, and NT$92.6 billion for long-term care. Additionally, NT$27.2 billion is allocated for salary adjustments for military, public, and educational personnel, with the central government covering NT$21.2 billion.
The defense budget for the 2025 fiscal year is NT$476 billion, a 9.6% increase from the previous year. Including special budgets for new aircraft and sea and air combat capabilities, the total defense expenditure reaches NT$566.4 billion, a 7.1% rise. When adding non-operating special funds, the overall defense budget stands at NT$647 billion, a 7.7% increase.
Hsieh noted that the operational maintenance budget covers main battle equipment parts, logistics maintenance, and ammunition procurement. He also confirmed that submarine project plans are included in the budget but are still under review, with submission to the Legislative Yuan expected by the end of the month.
Regarding whether the defense budget will reach 3% of GDP, Hsieh stated, "The defense budget planning process considers both defense needs and national financial conditions. We aim for stable growth, not participating in international arms races. The 3% GDP target is an aspirational goal."