Taiwan Announces Substantial Defence Budget Increase for 2025

Taiwan's cabinet declared a 7.7% rise in the 2025 defence budget, totaling T$647 billion or $20.25 billion. This accounts for 2.45% of the nation's GDP.

In a significant announcement, Taiwan's cabinet on Thursday stated that the 2025 defence budget will see a 7.7% increase year-on-year, reaching T$647 billion ($20.25 billion). This adjustment elevates the defence expenditure to 2.45% of the country's gross domestic product (GDP).

The increase in spending comes amidst rising regional tensions and a broader effort to bolster national security.

Notably, the currency exchange rate at the time of the announcement stands at one U.S. dollar equaling 31.9490 Taiwan dollars, reflecting the substantial investment Taiwan is making in its defence sector.

(With inputs from agencies.)