Taiwan To Increase Defense Spending To Record Amount

Taiwan will increase defense spending to a record amount of 647 billion Taiwanese dollars (20.2 billion U.S. dollars) next year due to the growing military threat from China, Azernews reports.

It is clarified that military spending next year will be 7.7 percent more than in the previous year, and will amount to 2.45 percent of Taiwan's estimated GDP. The amount allocated for defense spending also includes a special budget of 247.2 billion Taiwanese dollars, allocated for seven years until 2026 for the purchase of new fighter jets, most of which will be supplied by the United States.

As the newspaper notes, there is uncertainty about whether Taiwan's military spending will be sustainable. According to Chie Chung, associate professor at the Institute of International Relations and Strategic Studies at Tamkan University in Taiwan, the growth of defense spending over the past few years has been boosted by a special budget funded by public debt, but it is unclear whether this mechanism will operate after 2026. "It may be difficult to maintain current military spending in the future," Chie said.

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