According to the Executive Yuan's latest policy report, which was released to the press yesterday, the government is making the resumption of dialog with China a key policy goal for next year.
"The government will gradually promote direct links across the Strait, an effort that will require talks between the two sides," the report said. "To that end, it will seek to restore contacts between the Straits Exchange Foundation and [China's] Association for Relations across the Taiwan Strait."
The policy change is in line with the conclusions reached by the just-concluded Economic Development Advisory Conference, which call for lifting the ban on full-scale cross-strait contacts, among other things, to help Taiwan stay competitive.
The country's accession to the WTO, likely in November, will also make contact with Chinese officials inevitable, as the international trade organization requires member states to open their markets to each other.
Beijing halted official exchanges with Taiwan in July 1999 after then-president Lee Teng-hui (
Despite the transfer of power last year, Taiwan's giant neighbor has continued to insist that the DPP government recognize the "one China" principle before allowing a resumption of contacts.
The 172-page Cabinet report covers a wide range of other policy areas.
For example, projected spending for the next fiscal year is projected at NT$1.5993 trillion -- down NT$37.8 billion, or 2.3 percent, compared with the present fiscal year. The sum accounts for 15.4 percent of the GNP, down from 16.5 percent this year.
Revenues are expected to reach NT$1.3407 trillion, down NT$53.9 billion, or 3.9 percent compared with this year.
The statistics suggests a budget deficit of NT$258.6 billion, the report said. There's also another NT$99 billion in bonds that are coming due.
To bridge the shortfall, the government plans to issue US$225 billion in public bonds, accounting for 14.6 percent of next year's spending -- close to the 15 percent ceiling allowed under law.
Premier Chang Chun-hsiung (
On the domestic front, the government will continue the battle against the influence of organized crime and big-money interests.
Last year, the Ministry of Justice probed 2,188 alleged cases of corruption and prosecuted 1,105 suspects, of whom 402 were civil servants, according to the report.
The Ministry of the Interior is to continue pushing for the abolition of the direct election of township and village chiefs, as those races are susceptible to manipulation.
Diplomatically, the country will seek to join international organizations, whether their membership requires statehood or not.



