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Internal affairs
9. On 31 January, the Executive Yuan approved a six year economic development plan which involves spending Ne Taiwan $8.2 trillion (US $303 billion) on infrastructural projects. Taiwan's budget deficit is scheduled to increase by over 266 per cent. the plan includes 779 projects such as highway and subway systems, petrochemical plants, infrastructure for heavy industries, the fourth nuclear power plant and pollution control facilities.
10. Constitutional reform has been much discussed. The National Assembly is due to meet in special session on 8 April to make preparations for elections in December which will include necessary amendments to the Constitution. James Soong, the Secretary-General of the ruling Kuomintang, outlined five principles for guiding constitutional reform on 21 January which meant that the present systems should retained and reformed, but not altogether changed. They should also take into account the ultimate goal fo reunification.
11. The Taiwan Defence Ministry stated on 31 January that, as a signatory to the Geneva Convention, Taiwan is obliged to ban the use of chemical weapons, and Taiwan had never possessed or tried to develope such weapons. On 21 January President Li Teng-hui said Taiwan would never change its stance on developing nuclear weapons and that its nuclear technology would have only peaceful applications.
20 February 1991
Far Eastern Section
Research and Analysis Department
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