Lai Ching-te Pushes NT$10,000 Universal Cash Handout and Military Pay Raise as Presidential Office and Cabinet Vie for Public Opinion

Aug 19, 2026

Taiwan's President Lai Ching-te has rolled out both a cash handout and a pay raise for military personnel within the space of a week, aiming to prevent next year's general budget from being held up again in the Legislative Yuan. It is good news for the public and for service members, and pressure on the opposition parties.

  • Lai announced that every person will receive NT$10,000 in cash next year, framing it as "sharing the AI dividend with all citizens."
  • The military pay raise takes effect at the same time, with frontline officers and enlisted personnel in combat units receiving an extra NT$4,000 per month, and conscripts treated on par with volunteer soldiers.
  • Next year's general budget goes to the Legislative Yuan on Thursday; the previous review was dragged out for 351 days, and the Presidential Office and Cabinet do not want a repeat.
  • The Presidential Office also held a press conference with social welfare groups, highlighting the impact on disadvantaged groups after cuts and freezes to the state affairs fund.
  • Other policies were unveiled alongside them, including a growth allowance for children aged 0 to 18, a defense budget exceeding NT$1 trillion, and local government funding.

Outlook: The budget battle is about to begin in the Legislative Yuan, and the wrangling between the ruling and opposition camps over cash handout policies will not stop any time soon.

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