Taipei:The government aims to distribute a NT$10,000 (US$313) cash handout in January, ahead of the Lunar New Year holiday, contingent upon the 2027 general budget's legislative approval by January 5, announced Premier Cho Jung-tai on Thursday.

According to Focus Taiwan, the government has allocated NT$235.7 billion in the general budget for the handout, funded by tax revenue growth from tech-related sectors, with an anticipated economic growth rate of 11.05 percent. During a Cabinet meeting, Premier Cho stated that if the Legislative Yuan passes the budget by January 5, President Lai Ching-te could promulgate it by January 20. This would allow the first recipients to register online for the handout on January 25, receiving it the next day as per the Ministry of Finance's phased plan.

The government plans to commence issuing the handout before the Lunar New Year, which starts on February 4. However, those opting to collect the handout at ATMs or post offices will have to wait until February 15 and 22, respectively, as per the ministry.

The Ministry of Finance announced at a Cabinet news conference that eligible recipients include Taiwanese citizens with household registrations, nationals without household registrations but with residence permits, foreign nationals with permanent residence permits, and spouses of Taiwanese nationals from China, Hong Kong, Macau, or other countries with residence permits. Additionally, government personnel stationed overseas and their dependents holding Taiwanese nationality are eligible.

Deputy Finance Minister Juan Ching-hwa expressed concerns over a Kuomintang (KMT) caucus proposal to increase the handout to NT$20,000 per person, stating it is not fiscally sustainable. The NT$10,000 handout relies on balanced income and expenditure, avoiding borrowing or using previous fiscal year surpluses. The KMT's proposal would raise spending to over NT$470 billion, about 13 percent of the total general budget, necessitating borrowing and risking fiscal stability, Juan warned.