'Super budget' to target AI, future growth, youth, regional development
The government plans to channel fiscal resources into artificial intelligence (AI), future industries, youth support and regional development by leveraging increased tax revenue from the semiconductor boom, government and ruling party officials said Tuesday. The plan comes as next year’s budget is expected to increase by more than 10 percent from this year’s 729.9 trillion won ($527 billion),…
Korea's government is devising a comprehensive budget plan that will focus on several key areas, including artificial intelligence (AI), emerging industries, youth employment, and regional development. The strategy is being driven by the anticipated surge in tax revenue stemming from the semiconductor industry's rapid growth, according to government and ruling party officials.
The proposed budget is set to experience a substantial increase, surpassing 800 trillion won for the first time, as next year's fiscal plan is expected to rise by more than 10 percent compared to this year's 729.9 trillion won. Instead of allocating the additional funds to short-term initiatives, the government and ruling party aim to reinvest the resources into long-term growth prospects.
The Democratic Party of Korea (DPK) and the government have reached an agreement on the importance of a proactive fiscal role in facilitating Korea's structural transformation. Rep. Kwon Chil-seung, the DPK's policy chief, emphasized this during recent high-level budget consultations between both parties. "We will resolutely trim nonessential expenditures to funnel resources into strategic, high-growth areas," Rep. Jung Tae-ho, the DPK's representative on the National Assembly's Special Committee on Budget and Accounts, added.
Written by urgent.news from The Korea Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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