In this research, we study the critical and core issues of the Jeju Free International City project (JFIC, hereafter), which should be settled prior to financing for the JFIC project using a project financing strategy. To develop the implications and prior settlement issues for project financing strategy of the JFIC project, we analyze many previous cases and researches on project financing. The results of this study show that several issues should be stressed in the JFIC project, and should be settled prior to using a project financing for fund-raising. These issues are as follows. First of all, the project, which will be developed, should be a very promising business in technically and economically. In case of the JFIC project to raise the validity of project, following strategies should be considered: the dividing of the JFIC project into several business units which have a similar property of future cash flow of project and market conditions of project output (or the combining of small projects with similar property into the business unit), the participation of experts on developments of each business unit, the stabilizing of the future cash flow of project by developing of subsidiary projects and additional development options, the sufficient supports of the Korean government or Jeju-do. Second, it is required to develop and organize the core banks and investors group with well-known reputations prior to execution of project developments. Third, it is required to minimize the agency costs and contractual risks by accomplishing the clear contracts and simple governance structure between participants. Fourth, the technical and economical validity analysis on project should be performed in conservatively and thoroughly, and the results should be offered to tentative investors. Fifth, possible risk factors should be analyzed thoroughly and diverse hedging alternatives for the analyzed risks should be prepared. And finally to reduce the uncertainty of project and to raise the transparency of the project sponsor, the credit risk of project sponsor should be evaluated, and diverse credit-enhancement schemes should be considered.