Although the funds allocated to national defense from the government’s annual budget represented less than 3 percent of Taiwan’s GDP, the nation’s defense budget has trended upward over the past three years, Ministry of National Defense spokesman Major General David Lo (羅紹和) said yesterday.
Lo was responding to an annual report recently released by the US Department of Defense on China’s military and security developments, which stated that Taiwan’s defense spending has dropped to 2 percent of GDP, while China’s military spending has risen to 14 times that of Taiwan.
Meanwhile, media reports said Taiwan has only seen slight growth in its national defense budget over recent years, with its defense budget for fiscal 2016 accounting for only 2.3 percent-2.4 percent of GDP.
Lo said the ministry has made it clear on several occasions that the government has considered the use of a reserve fund or other funding for major arms procurement deals in the future to bolster its national defense and demonstrate its resolve to maintain an effective self-defense force.
The national defense budget was earmarked to respond to potential enemy threats while taking into consideration the nation’s military buildup plans, government finances and public opinion, the ministry said.
PEACE AND STABILITY
It said that the military would continue to build up its defense capability to ensure national security, peace and stability across the Taiwan Strait, based on a strong foundation of financial support.
In response to a call by the US for Taiwan to increase its defense spending, a senior military official said that whether the defense budget increases usually depends on the government’s general budget allocations.
Taiwan would not engage in an arms race with China, but would instead focus on making optimal use of its available defense budget, the official added.
As such, even though Taiwan plans to increase its defense budget in the future, the growth rate would be limited, Lo said, adding that the most important task for the new government is to ensure stability in the Taiwan Strait, promote economic growth and enhance the nation’s overall competitiveness.
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