Taiwan's new Cabinet Thursday retracted next year's budget, along with massive spending plans meant to bolster the economy, saying it would adjust them. The budget had already been sent to parliament, but legislators will now have to wait for a new proposal to be submitted after Premier Wu Den-yih's Cabinet agrees on it, probably next week.
"As Premier Wu may fine-tune government measures, the budgets need to be slightly adjusted," a Cabinet official told AFP. The budget, which was drawn up by the previous Cabinet, forecast a deficit of 187.8 billion Taiwan dollars (5.8 billion dollars) next year, up from a predicted 124.8 billion dollars shortfall this year. Also withdrawn was extra spending of 149.2 billion Taiwan dollars - part of a four-year 500-billion-dollar stimulus plan - and a 120-billion-Taiwan-dollar typhoon relief budget.