The government will grant monthly subsidies ranging from NT$3,000 to NT$6,000 from October to March to 450,000 families at risk of falling into poverty, Minister of the Interior Liao Liou-yi (廖了以) told a press conference yesterday.
Under the proposal approved at yesterday’s weekly Cabinet meeting, anyone who earns less than NT$300,000 (US$10,000) per annum and has to support a family is qualified for the subsidy as long as his or her family is not excluded on other grounds.
Liao said that the government would select recipients using a computer selection process and verify whether they qualified with the help of village and borough chiefs.
The government’s announcement of the subsidy marks the first time that the government has issued grants to those who are not defined as middle-to-low income households — families whose average household income is less than two-and-a-half times the minimum standard of living, which varies for each county and city.
“The plan is intended to buffer the impact of rising oil and commodities prices and to help maintain the minimum standard of living for the near poor,” Liao said.
Liao said that the government would consider extending the six-month plan to a second term from April to September if the economy does not improve.
The government set a number of conditions to make sure that the money goes to the right people.
The conditions say that applicants covered by other social benefit payments or who receive the subsidy for middle-and-low income households cannot apply.
In addition, applicants whose spouse or dependent relatives under 65 years old earn more than NT$300,000 a year, or who own real estate valued at more than NT$3.9 million were also excluded.
Liao said the subsidy was designed to “encourage the value of work,” as people who did not join either labor insurance or employment insurance for six continuous months from January to June or whose annual income was less than NT$190,080, equivalent to the minimum wage of NT$15,840 a month, did not qualify.
The government will appropriate NT$6.75 billion from its reserve fund for the subsidy this year and has earmarked NT$20.2 billion for the plan in next year’s budget request statement, Liao said.
Liao denied that the scheme was designed to buy votes in the county commissioner and city mayor elections scheduled for the end of next year.
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