In accordance with Subparagraph 2 of Paragraph 2 of Article 3 of the Additional Articles of the Constitution of the Republic of China, the Executive Yuan on Thursday approved a request for the Legislative Yuan to reconsider amendments to the Act Governing the Allocation of Government Revenues and Expenditures, which passed their third and final reading during the ninth sitting of the fourth session of the 11th Legislature on November 14, 2025.
Premier Cho Jung-tai stated that the Legislative Yuan's amendments to the Act were deemed difficult to execute due to six main issues: (1) The current and previous rounds of amendments would require the government to borrow NT$563.8 billion (approximately US$18 billion), exceeding the 15% borrowing cap stipulated by the Public Debt Act; (2) the amendments encroach upon the Executive Yuan's budgetary authority, jeopardizing fiscal health and the central government's policymaking and administrative powers; (3) the amendments deprive the central government of flexibility in managing fiscal surpluses and deficits; (4) the amendments do not reasonably reflect the fiscal capacities of local governments; (5) the amendments hinder the central government's ability to supervise local governments in handling autonomous affairs and fulfilling statutory obligations; and (6) the amendments result in insufficient central oversight of local governments' fiscal affairs. For these reasons, the Executive Yuan will, following approval by the President, submit its request for reconsideration to the Legislative Yuan.
Premier Cho further emphasized that, with Taiwan's economic growth ranking first among the Four Asian Tigers (Taiwan, Hong Kong, Singapore and South Korea) since 2024, it is all the more crucial that the nation's public infrastructure and social welfare do not fall behind other countries. In light of this, the Executive Yuan stands firm in rejecting the Legislative Yuan's latest amendments to the Act and, on November 20, submitted its own proposed amendments for legislative deliberation. These proposed changes aim to foster a more balanced quality of life, more rational vertical distribution, more equitable horizontal distribution, stronger local autonomy, and enhanced partnership between the central and local governments. The premier also expressed hope that all legislative caucuses will engage in rational discussion and fairly review the Executive Yuan's request for reconsideration.