Taiwan to pay every citizen $300 'AI dividend' next year

Taiwan's government plans to distribute 10,000 New Taiwan dollars ($300) in cash to every citizen next year, drawing on a fiscal windfall from the boom in AI and semiconductor industries.

The proposal has drawn criticism from some quarters as populism timed ahead of local elections in November.

President Lai Ching-te announced the so-called "AI dividend" plan Monday after receiving a briefing at the Presidential Office on the Executive Yuan's proposed central government budget for 2027, according to Taiwan's Liberty Times and other local media.

Lai said the government would ensure "all citizens share in the AI dividend together," and urged the Legislative Yuan to review the annual budget proposal on schedule.

Taiwan's Directorate-General of Budget, Accounting and Statistics said the island's economy grew 14.15 percent in the first half of this year — the highest first-half growth rate in roughly 50 years — fueled by a boom in semiconductors and information and communications technology. The full-year growth forecast was also revised upward, from 9.64 percent to 11.05 percent, which would mark the fastest annual growth in 39 years.

The government attributed the expansion to rising orders, exports and investment centered on the semiconductor, ICT and manufacturing supply chains, amid surging global demand for AI, high-performance computing and cloud services. Lai said the economic gains were a collective achievement but acknowledged that not all citizens felt the benefits equally.

Projected government revenue for next year rose to about 3.93 trillion New Taiwan dollars. Working within a balanced budget and without issuing new government bonds, the government earmarked 235.7 billion New Taiwan dollars for the cash payout. Officials said the fiscal balance would be maintained and net debt would not increase after the distribution.

Taiwan also paid each resident 10,000 New Taiwan dollars in 2025, when the economy grew 8.8 percent.

If the Legislative Yuan passes the budget this year, citizens are expected to receive the cash before the Lunar New Year holiday next year.

The opposition Kuomintang and Taiwan People's Party criticized the ruling party for belatedly adopting a cash-payout policy the opposition had long championed, accusing it of applying a double standard.