The Financial Services Commission has set its budget for next year at 9.24 trillion won, nearly doubling this year's allocation. The budget focuses on investments in advanced industries, support for low-income finance, and youth asset formation.
On September 1, the commission announced that the budget for the 2027 fiscal year has been increased by 4.59 trillion won (98.7%) compared to this year.
Key allocations include 2.08 trillion won for youth asset formation, 1.08 trillion won for stabilizing low-income households, and 1.05 trillion won for enhancing future growth potential.
The National Growth Fund, aimed at investing in advanced industries, will receive 1 trillion won. The government plans to leverage this funding along with private investments from pension funds and financial institutions to supply over 200 trillion won over the next five years. Starting next year, the annual operating scale will expand from 30 trillion won to 40 trillion won, and support will be extended to new strategic industries, including aerospace.
The Regional Revitalization Investment Fund will be allocated 50 billion won to encourage local project investments. An additional 5 billion won will be dedicated to supporting the commercialization of youth fintech companies with AI technology and training specialized personnel.
Support for low-income finance will also be expanded. The commission will contribute 5.274 trillion won to the Sunshine Loan Special Guarantee and Sunshine Loan Youth programs, providing a total of 27.8 trillion won in loans. The supply of Sunshine Loan Special Guarantees will increase from 23.3 trillion won this year to 24.8 trillion won next year.
A new 'K-Living Support Loan' will be established for individuals with credit scores in the bottom 50%. Utilizing 300 billion won in government funding and private capital, a total of 600 billion won will be made available. The initial loan of 1 million won will be offered at an interest rate of 4.5% for a 10-year term, with an additional 1 million won available after six months of timely repayments. The budget also allocates 500 billion won for special debt adjustments for long-term overdue debts of self-employed individuals and small businesses affected by COVID-19.
The Youth Future Savings program will receive 1.7 trillion won. The income requirements for the standard plan will be eliminated to broaden eligibility, and the government contribution rate for the preferential plan will increase from 12% to 15% of monthly contributions. A separate preferential track will be established to support young employees at small and medium-sized enterprises in local areas with 25% of their contributions. The expanded contribution benefits will be retroactively applied to this year's participants following the National Assembly's budget review.
The 'Our Child Independence Fund,' which accumulates funds from parents and the government from birth until the child turns 18, will receive a new allocation of 146.5 billion won. Households with incomes below 50% of the median will receive a fixed annual support of 1.2 million won, while those with incomes between 50% and 150% of the median will receive matching support from the government of up to 1 million won based on parental contributions.
* This article has been translated by AI.
Copyright ⓒ Aju Press All rights reserved.