The government will easily reach its goal of soliciting NT$100 billion (US$3.33 billion) of private investment for public projects this year, Premier Jiang Yi-huah stated today.
Private investment contracts signed this year already totaled NT$96.5 billion (US$3.22 billion) at the end of September. At this rate of progress, the target will be attained without difficulty, Jiang noted.
The premier made these remarks at today's Cabinet meeting after the Ministry of Finance (MOF) reported on the progress of this program.
While expressing his gratitude to the central and local competent authorities for their hard work, the premier nonetheless enjoined them to continue to stay abreast of relevant developments and have the contract-signings and investments carried out as planned. Any agencies encountering problems in the promotion or execution process can ask the MOF for help, and should any major obstacles arise, they can also apply to the Executive Yuan's committee for promotion of private investment to request assistance and solutions, he advised.
Channeling private capital into public infrastructure to bolster economic momentum has always been a major administrative priority of the Executive Yuan, the premier stated, noting this policy can not only preserve the government's fiscal health but also raise the quality of public services. The premier therefore instructed central and local government agencies to proactively promote this policy.
Of the three largest (in terms of capital) such investment cases of 2014, two have been undertaken by the Taipei City Government and one by the MOF, and all were leases of superficies rights for public land. These lands and their winning investment amounts are:
- City-owned Parcel No. 6 in Xinyi District of Taipei City (Block A25 of the Taipei City Xinyi Project Zone): NT$26.5 billion (US$883 million).
- Six plots of city-owned lands at Parcel No. 782 in Zhongshan District of Taipei City: NT$12 billion (US$400 million).
- Thirteen plots of national land under the MOF's jurisdiction, including Taipei Academy and the Zhonglun dormitories: NT$14.1 billion (US$470 million).
This private investment will help reactivate these public lands and raise their efficacy, the MOF said.
According to MOF statistics, 87 cases totaling NT$96.5 billion (US$3.22 billion) had already been contracted out for private investment as of the end of September this year. From 2002 to September 2014, a total of 1,175 contracts were signed with an aggregate value of NT$1.148 trillion (US$338.27 billion). These deals are projected to save the government fiscal expenditure of NT$879.4 billion (US$29.31 billion), increase tax revenue by NT$590.5 billion (US$19.68 billion) and create over 160,000 job opportunities over the lifetime of the contracts.