Taiwan is set to issue its second-ever universal cash payment to all citizens. Opposition party legislators cited economic uncertainty caused by tariffs as one of the justifications for this round of payments.
This year’s universal payment is set to be issued by October 31, 2025. In addition to excess tax revenue, legislators supplemented the special budget by eliminating an electricity subsidy to its national electricity provider. As a result, Taiwan was able to increase its payment to NT$10,000 (approximately $300 USD) this year compared to NT$6,000 for its 2023 universal payment.
Such a move put the concept of universal payments to the forefront of Taiwan’s political debate, which until recent years faced reluctance to provide direct cash payments. That changed after Taiwan exited the pandemic in 2023 with significant excess revenues, largely generated from the tech industry, and legislators moved to ‘refund’ this money directly to citizens.
“A second universal payment demonstrates the gradual mainstreaming of basic income as a legitimate policy direction in Taiwan,” Tyler Prochazka, UBI Taiwan’s founder, said.
This was a unique case of universal cash becoming a major national political issue in non-pandemic times. The two main factions in Taiwan, the so-called green and blue parties, fought over the payment. After the special budget was passed, the Executive Yuan deliberated whether to veto the universal payments.
Over the past several months, UBI Taiwan has met with legislators in both parties to discuss basic income in the run-up to the universal cash vote.
UBI Taiwan’s chairman Jiakuan Su argued that universal payments represent “trust that everyone will be able to make the most of these resources according to their needs.”
Last month, a massive recall referendum was held for 25 legislators from the party that supported universal cash, the Nationalist Party (KMT). However, all of the recall campaigns failed against the KMT in a massive political upset for the Democratic Progressive Party (DPP), which controls the Executive Yuan and the presidency.
Critics accused the KMT of using the universal cash as a way to “buy” voters ahead of the recall. During the recall vote, the KMT advocated for Taiwanese to vote “no” to protect their universal cash distribution.
After the failed recall, the Executive Yuan decided not to veto the cash. An analyst credited the universal cash as helping turn around the KMT’s fortunes ahead of the recall. In August, another recall vote will occur, and a veto of the cash may have provided additional ammunition for the KMT to use against the DPP in that referendum.
Instead, DPP legislators are now attempting to propose that local governments make additional cash payments on top of the national payment, in what some call an attempt to co-opt the issue for their party.
The Executive Yuan signaled that while they will not veto the matter, they will refer the universal cash to the Constitutional Court to confirm if the Legislative Yuan violated a requirement to consult the Executive for excess budgets.
Henry Lee, a member of UBI Taiwan’s Executive Board noted this is a major milestone for unconditional cash payments in Taiwan, but these one-off payments are still distinct from basic income.
“Some people may decide to plan a weekend trip or a fancy dinner, but no one will decide to leave a hostile workplace and pursue their own life’s possibilities,” Lee said.
There is currently no major discussion to make these payments permanent, as a basic income would require.
UBI Taiwan’s chairman Su said that his organization’s goal is to use the momentum from the one-time payment to gradually establish a “resilient institutional framework” for a regular basic income.
Supportive legislators framed the payments as “shared prosperity” and as a “tax refund”, distinguishing from basic income as an entitlement regardless of economic conditions. Even with this framing, critics still argued the payments were an improper use of funds.
Nonetheless, Lee argued that the payments are a positive development for basic income momentum in Taiwan.
“A universal cash payment is the stepping stone to UBI, sparking public discussion and imagination about a universal cash payment system,” Lee said. “UBI Taiwan hopes to use this to propose UBI policies and make society understand that ensuring people’s basic living needs is a long-term commitment that the government should shoulder.”
Research presented at the 2024 BIEN Congress explores China’s possible shift from existing social assistance programs toward Universal Basic Income (UBI), raising insights into poverty alleviation and social equity.
Conducted by interns Zhao Muge, Wu Yifan, and Huang Xinhe under the guidance of scholars Cheng Furui and Ye Jiabin, the study titled “Can China Move Towards the UBI?” evaluates China’s current Minimum Livelihood Guarantee (Dibao) and targeted poverty alleviation policies, proposing UBI as a potential next step.
The study highlights that China’s Dibao policy, intended to provide a minimum living allowance to low-income households, initially showed strong results in poverty reduction—particularly evident in rural areas. For example, a 1 percent increase in rural Dibao expenditure corresponded to a 6.8 percent reduction in poverty in regions like Shanxi Province from 2008 to 2018. However, over time, Dibao’s effectiveness declined due to welfare dependency, stigmatization of recipients, and administrative inefficiencies, including inadequate adjustment mechanisms for benefit standards and cases of resource misallocation. From 2015-2016, the reduction in the poverty rate in some parts of China was less than 30 percent.
Transitioning from subsistence allowances to targeted poverty alleviation was a necessary step to improve the efficiencies of the program, the study’s authors argued. The number of rural Dibao beneficiaries began to surpass urban beneficiaries around 2007 and peaked in 2013, prompting China to implement targeted poverty alleviation policies. From 2018 to 2020, the number of rural beneficiaries vastly exceeded urban beneficiaries, emphasizing the critical need for interventions targeting rural poverty. Next, the study discussed the advantages of targeted poverty alleviation compared to subsistence allowances. Case studies showed that targeted poverty alleviation can be implemented through infrastructure development, industry support, education, and other means. Compared to Dibao, targeted poverty alleviation places more emphasis on enabling self-development through comprehensive measures. As a result, it has a broader scope, more projects, and is more comprehensive and in-depth, leading to sustainable poverty alleviation.
The research also explores the theoretical and practical groundwork supporting UBI implementation in China. Theoretically, UBI aligns with China’s goal of common prosperity and narrowing the wealth gap. Practically, the COVID-19 pandemic provided an experimental foundation through widespread government-issued consumption vouchers, which effectively stimulated local economies, with economic multipliers ranging up to tenfold in certain cases.
The paper outlines several feasible pathways for China’s gradual implementation of UBI: using dividends from carbon emissions trading, establishing a permanent citizen trust fund financed by state-owned enterprises, adopting negative income tax schemes to enhance employment incentives, and distributing subsidies adjusted according to regional poverty lines and demographic factors.
Despite recognizing challenges, such as funding sources, potential increased tax burdens, and the risk of disincentivizing labor participation, the research strongly supports the viability and potential benefits of UBI. Ultimately, the authors conclude that by carefully addressing these challenges, China could successfully integrate aspects of UBI into its social welfare system, significantly reducing poverty, enhancing social equity, and driving sustainable economic growth.
UBI Taiwan hosted a press conference to spotlight the progress of its basic income pilot program for single-parent households. The event brought together policymakers, academics, and beneficiaries to celebrate this milestone and advocate for a more equitable future.
Two Taiwanese national legislators were present at the event, offering their support and emphasizing the broader implications of basic income for Taiwan. They stated they hoped this experiment could become a stepping stone for Taiwan to become a more fair and just society.
Yu-Ling Chang, Assistant Professor of Social Welfare at UC Berkeley, hailed the initiative as a pivotal development in Taiwan’s social welfare history. “Implementing the basic income experiment is a new milestone for social welfare in Taiwan,” she remarked.
Adding a personal dimension to the event, Ms. Yu, the first participant in UBI Taiwan’s basic income experiment, shared her experience. She expressed gratitude for the program, which provided much-needed stability and relief during a challenging period in her life. “The basic income gave me a moment to breathe,” she said, reflecting on how it allowed her to focus on her child and navigate life’s uncertainties, such as her recent battle with cancer.
A documentary about Yu’s journey with basic income will be released later this year.
To further raise awareness and funds for the single-parent basic income program, UBI Taiwan held a national charity debate competition in December. Students from Taiwan and Japan participated to deliberate on whether Southeast Asia should implement basic income, presenting diverse perspectives on issues such as entrepreneurialism, foreign direct investment, fiscal capacity, and governance challenges in developing nations.
The championship round showcased arguments from both sides, with opponents emphasizing feasibility concerns while proponents argued that the social costs of inaction outweigh the investment required to implement basic income.
The tournament raised over $1,000 USD, with the proceeds going toward developing the single-parent program. The fundraiser was organized by UBI Taiwan and Ascent Academy’s Youth Leadership Program, which is designed to connect young people with social impact initiatives in the spirit of basic income.
Beyond the debate competition, students in the Youth Leadership Program are developing additional programs to address pressing social issues. Current projects include initiatives to support the homeless using cash cards and provide educational resources for low-income students.
UBI Taiwan plans to expand the single-parent basic income program this fall. To support this initiative, the organization also hosted a fundraiser talent show in January, inviting supporters to perform in support of the program.
Jiakuan Su, chairman of UBI Taiwan, said he saw positive changes during the pilot program from finding a better job to improved educational development for the child.
“The value brought by basic income is not just the money, but more importantly the changes it brings to your life,” Su said.
台灣代表團會見了以「Rise Up」保障收入計畫而聞名的劍橋前市長 Sumbul Siddiqui； Camp Harbor View 和 United South End Settlements (USES) 都開展了基本收入實驗項目，將計畫重點置於有孩子的家庭。 與這些組織的討論顯示了基本收入如何提高弱勢兒童的就學率，且如何穩定生活條件。
UBI 台灣創辦人 Tyler Prochazka （羅泰） 表示學生在設計UBI企劃的第一要素是「熱情」。
