TAIPEI, (TaiwanToday) – The Trillion NT Dollar Investment National Development Plan launched by the Executive Yuan (EY) on December 9, highlights the government’s commitment to encouraging private participation in national infrastructure projects to boost the country’s growth.
According to the EY, the plan aims to promote public-private partnerships, enhance investment conditions for public infrastructure and expand financial products related to public construction projects.
The EY said a special task force will set up a mechanism for the government and private sector to jointly propose projects while easing relevant policy and regulatory barriers. The force is expected to facilitate communication between public and private entities, while dedicated meetings will coordinate ministry and agency efforts and provide opportunities for experts to submit suggestions.
Several potential projects, such as the development of the O9 station of Kaohsiung Metro’s Orange Line, have been selected as priorities. The EY said that the amount of private investment in public construction countrywide is expected to reach NT$682.9 billion (US$21 billion) over the next four years and will create 126,000 job opportunities.
The government of Taiwan is also incentivizing the insurance industry to invest in public infrastructure private equity funds. The EY explained that the Financial Supervisory Commission has reduced the risk of direct investment and increased the investment limit for strategic industries with public infrastructure elements.
Additionally, the EY encouraged the issuance of NT$510 billion-NT$ 610 billion sustainable bonds and Real Estate Investment Trust shares, the latter of which are projected to pour NT$45 billion into public construction by the end of 2028.
First presented by the EY’s Economic Development Committee in July, the plan aims to channel NT$3-4 trillion of domestic and international capital into Taiwan’s major infrastructure projects.
