Removing investment barriers through deregulation

  • Date: 2018-06-12

The loosening of laws and regulations has become an important focus of government work to advance economic development and prevent excessive regulation from hindering Taiwan’s competitiveness. With an eye toward operational benefits, simplified administration and convenience for the public, the government is seeking to temper the restrictive approaches of the past by conducting a top-to-bottom review of outdated legal interpretations, administrative rules and regulatory orders, beginning with financial regulations. The goal is to eliminate barriers to investment and establish an efficient regulatory environment conducive to business operations and public convenience.

Major accomplishments
 Improving the environment for business operations: Efforts include adjusting the collection of slopeland development and utilization fees to incentivize businesses to upgrade, renovate or expand facilities, relaxing rules for rooftop solar panel installation permits and environmental impact assessments for green energy projects, allowing banks to hold up to 100 percent of shares in venture capital enterprises, and permitting government procurement departments—in the event that a contract or award is revoked or rescinded—to negotiate pricing with sequential contractors whose tenders are the most advantageous or match the requirements of a project, without re-opening bidding. These measures provide operational flexibility for businesses and increase the administrative efficiency of government.

 Aiding the development of startup enterprises: Actions aimed at eliminating regulatory barriers and providing multiple pathways to raise capital include simplifying procurement procedures, allowing companies to issue stock with a face value of less than one New Taiwan dollar (US$0.033), adding e-commerce as a category of listed company, and relaxing requirements for companies to list on Taiwan’s Go Incubation Board for Startups and Acceleration Firms (GISA).

 Providing convenient public services: The government is ushering in digital conveniences and raising administrative efficiency by removing impediments facing small-scale businesses in accepting mobile payments, establishing guidelines for linking mobile phones to debit card accounts as a new payment tool, allowing physicians to diagnose and treat patients remotely, and reducing paperwork by implementing online patent reviews.