The main reason that Private Finance Initiative (PFI) is favored by governments all over the world is that the abundant financial resources from private sectors could make up government finance deficit, and accelerate the implementation of public policies. On the other hand, the innovative ideas from private sectors could reduce rigidity and give public sectors a new lease of life, help promote the diversification in public services, and improve the service quality and management efficiency. Compared to Japan, PFI in Taiwan is a new institutional model and research field; there is lack of common understandings on PFI. Meanwhile Japan has been implementing PFI for several years already, its legal structure is relatively well-established, and its lessons could serve as references when promoting PFI in Taiwan in the future.
Study shows that the promotion of PFI in Japan can serve as an inspiration for Taiwan. First, Taiwan will need a well-established legal institution. Second, at the implementation level, Taiwan could consider focusing on smaller social infrastructures to promote PFI step by step, and nurture small and medium-sized enterprises forming multiple competitive markets, to improve efficiency, and to enhance the professional knowledge of the local government about PFI for reducing future implementation failure at the same time.