institutional frameworks, fostering higher trust, which would encourage people to register their identities or businesses in the government database. Type 4 actors, who are not adequately covered by the existing regulatory frameworks. It can also target Type 2 actors, who opt to remain informal due to the lack of effective governance 2.1.2. Inadequate human capital development result of low productivity of workers and firms, which is caused by structural factors such as inadequate human capital development (Loayza 2018). According to the Organisation for Economic Co-operation and Development (OECD), approximately 45 percent of informal workers have, at most, a primary level of education, and around 94 percent of workers with no enhancing resources (OECD 2024). Due to their lack of proper qualifications, informal skills. They also tend to be less productive due to their limited access to education and skills development. At the same time, employment in the informal sector limits their opportunities 2025); Directorate General for Budget, Accounting and Statistics, Human Development Index (Chinese Taipei),