political

Legislature Passes 2026 Budget After Record 266-Day Delay, Drone Funding Intact

| Taiwan Strait

Taiwan's Legislative Yuan passed the central government's 2026 budget on August 14, 2026, approving NT$2.9869 trillion (about US$93 billion) in spending — the longest delay to clear a central government budget in Taiwan's democratic history. The Cabinet had submitted the bill on August 31, 2025, with a statutory deadline of end-November 2025, but review dragged on for 266 days amid deadlock between the Lai administration and the opposition-controlled legislature. The final package came in about 1.7% below what the Lai administration had sought, but the NT$63.4 billion drone-industry development and procurement budget passed intact, despite earlier Kuomintang threats to cut it by as much as 70%. The delay had left large parts of the government, including defense procurement timelines, operating on stopgap funding for much of 2026.

Taiwan's Legislative Yuan passes the 2026 central government budget after a record 266-day delay, August 14, 2026
Taiwan's Legislative Yuan passes the 2026 central government budget after a record 266-day delay, August 14, 2026 — Focus Taiwan / CNA