Taiwan’s president says record defence spending is investment in peace

Taiwan's President Lai Ching-te declared on Monday that the nation is committed to increasing its defence spending to maintain peace and stability. In a significant announcement, Lai revealed that Taiwan's proposed defence budget for the following year will rise by 16% and surpass T$1 trillion (US$31.40 billion), marking the first time the allocation will exceed that threshold. The cabinet will officially unveil the 2027 budget on Thursday, detailing how the funds will be allocated.

The rise in defence spending comes amid growing military and political pressure from China, which considers democratically governed Taiwan as its own territory. However, Taiwan also faces increasing calls from Washington to bolster its defence capabilities, similar to the pressure exerted on European nations. President Lai enthusiastically supports this stance, emphasizing Taiwan's determination to enhance its self-defence capabilities.

Lai stated that investing in defence is investing in peace, asserting that Taiwan will continue to build a stronger defence force to maintain peace and stability in the Taiwan Strait and the wider region. The government has long regarded military modernisation as a key policy, and they have repeatedly pledged to spend more on defence, including the development of domestically produced submarines, in response to the escalating threat from China.

China's military regularly conducts operations near Taiwan and carries out periodic war games, with the most recent occurring in late December.

However, Lai also faces opposition from Taiwan's dominant opposition parties in parliament. Despite passing the budget for the current year late on Friday amidst numerous delays, the main opposition parties have vowed not to approve the government's expenditure without thorough scrutiny and cutting out any wasteful spending. Lai urged parliament to review the budget grounded in the principles of professionalism, reasonableness, and proportionality.