Opposition lawmakers are howling over the Cabinet's plan to spend NT$16 billion next year to provide NT$3,000 monthly pensions to the elderly.
Calling the pension proposal "DPP largess," the lawmakers said the plan was a ploy to win votes in the year-end legislative elections.
Legislators also said the monthly payouts could put the squeeze on national infrastructure projects.
The pension plan was one of President Chen Shui-bian's (陳水扁) campaign promises during last year's presidential election.
"We're very worried that the spending will come at the expense of national infrastructure and economic development projects," said Lee Cheng-chong (
Chou Hsi-wei (
The government plans to spend NT$1.59 trillion next year. Revenue is forecast at NT$1.35 trillion, leaving a deficit of NT$249 billion.
The Cabinet plans to issue NT$500 billion in bonds to cover the deficit and "pay down," or refinance NT$251 billion in government debt.
The stipend program targets citizens over the age of 65 who are not covered under existing welfare programs.
Those who earn more than NT$500,000 per year or hold more than NT$5 million in assets would also be excluded.
Tsai Huang-liang (蔡煌瑯), chief executive of the DPP legislative caucus, said the program was intended to benefit the welfare of Taiwan's elderly and was unrelated to the year-end elections.
Of the nation's 2 million people who are 65 years of age or older, Tsai said, an estimated 400,000 are not covered by any assistance or pension programs.
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