Through a platform established via inter-ministerial collaboration, private sector operators can access abundant public infrastructure project sources for investment reference. Regarding the target to promote public-private partnership projects totaling 684.9 billion NTD over the next four years, the operation of the proposal platform is divided into two main parts: government proposals and private sector proposals.

Government Proposals

Central government ministries under the Executive Yuan are required to submit quarterly reports to the proposal platform during the feasibility assessment and planning stages of emerging public infrastructure projects. Projects that offer stable returns and are conducive to private investment will be prioritized as proposals. In addition, infrastructure projects related to major Executive Yuan policies, such as the 5+2 Industrial Innovation Plan and green energy construction, are also included in the prioritized proposal categories.

Private Sector Proposals

Encourages all types of private sector participants, including the financial industry, to actively engage. The Financial Supervisory Commission (FSC) is responsible for supervising the Taiwan Financial Service Roundtable and related financial associations to regularly collect investment suggestions from financial and insurance companies. These suggestions are consolidated and submitted to the proposal platform. Meanwhile, individual private sector participant may also directly submit proposals through the platform.

Public-Private Partnership Proposal Platform

The Financial Supervisory Commission has reduced the risk coefficient applicable to insurance industry investments in infrastructure private equity (PE) funds to 1.28% in order to encourage insurance companies to invest in infrastructure private equity funds (PE). This measure aims to assist industry participants in conducting pre-investment evaluations and post-investment management of public construction projects.

Following the revision of Interpretation Order No. 11404904513 by the Financial Supervisory Commission, insurance companies are allowed to invest in public infrastructure projects handled in accordance with the "Act for Promotion of Private Participation in Infrastructure Projects" through private equity funds.

Optimizing Investment and Financing Conditions for Strategic Industries

For strategic industries with public infrastructure characteristics, such as offshore wind power and AI data centers, the"Regulations Governing Use of Insurer's funds in Special Projects, Public Utilities and Social Welfare Enterprises" may apply after the competent authorities clarify through official interpretations that those investees are public investments. This allows the insuers' investment limit to be increased from 10% to 45%.

The National Credit Guarantee Mechanism’s guarantee ratio has been increased to a maximum of 80%, reducing the financing risks for financial institutions and enhancing their willingness to provide financing.
Increasing the guarantee ratio of the national financing guarantee mechanism helps boost financing willingness, guiding private capital to invest in approved financing projects and ensuring policy implementation. For targets including green energy construction, green energy equipment and services, energy storage, and major public infrastructure, the guarantee ratio has been raised from a maximum of 60% to 80% to support the development of strategic industries.

Expansion of the Scope for Insurance Industry Funds to Invest in Public Infrastructure

Originally, insurance industry funds following policy for public investments were limited to investing in the following areas:
transportation facilities, public utilities facilities, construction of social housing and elderly housing, environmental protection facilities, funeral facilities, public welfare facilities, and other public projects in line with government incentives and construction.
After the revision of Interpretation Order No. 11404904511 by the Financial Supervisory Commission, the definition of public investments aligned with policy is updated to:
public infrastructure projects conducted in accordance with the "Act for Promotion of Private Participation in Infrastructure Projects."

EncouragingREITFunds to Invest in Public Infrastructure

Public infrastructure projects that meet the definition of real estate or real estate-related rights, and possess characteristics of self-liquidation, fixed income, and stable long-term returns, are encouraged for REIT issuances in line with policies to guide capital into public infrastructure.

Private Capital Can Indirectly Invest in Public Infrastructure ThroughREIT

In the future, private funds such as financial and insurance capital can invest in operating public infrastructure projects by purchasing fund-type REIT. By increasing financial products related to public infrastructure, private capital is indirectly guided into public infrastructure investment.

Expanding the Issuance of Sustainable Government Bonds

Sustainable Government Bonds offer stable returns and controllable risks, serving as tools for financial institutions’ asset management and portfolio diversification. The Financial Supervisory Commission plans to promote these bonds to central and local government agencies, encouraging governments at all levels to issue sustainable bonds to raise funds for public infrastructure. Expanding the issuance of sustainable government bonds will serve as an important channel to guide private capital into public infrastructure investment.