[2025 Audit] Culture Committee Audit Sparks Debate Over K-Content Fund Returns

Jeong Yeonuk: "Investment Execution Sluggish Due to Losses"
Choi Hwiyoung: "Positive Returns When Measured Over Five Years"

During the National Assembly's Culture, Sports and Tourism Committee audit, a heated debate arose over the returns of the K-Content Fund operated by the government.

On October 14, Assemblyman Jeong Yeonwook of the People Power Party pointed out at the committee audit that the K-Content Fund managed by the government is underperforming in terms of returns, resulting in insufficient investment execution.

Choi Hwiyoung, Minister of Culture, Sports and Tourism, is speaking at the National Assembly's Culture, Sports and Tourism Committee audit held on the 14th in Yeouido, Seoul.
Photo by Yonhap News

Assemblyman Jeong stated, "The K-Content Fund formed over the past four years since 2022 amounts to approximately 2.7 trillion won, but only about 37% has actually been invested." He criticized, "More than half of the funds have not found any investment destinations and are being left idle." He also noted that a significant portion of the Culture Account Mother Fund remains uninvested.

According to data presented by Assemblyman Jeong, last year, the Culture Account Mother Fund raised a total of 679.2 billion won, with 350 billion won from the government and 329.2 billion won from the private sector. Of this, only 282.9 billion won was invested in 227 companies, meaning about 400 billion won was not executed.

Assemblyman Jeong argued that the government is unable to execute investments due to poor returns, and that it has become difficult for the private sector to contribute additional funds. He said, "Looking at the returns of funds liquidated over the past five years, the Global Content Fund recorded a maximum loss of 16%, and the average fund return was minus 8%."

In response, Choi Hwiyoung, Minister of Culture, Sports and Tourism, explained, "The Mother Fund is structured to distribute investments over four years after its formation, so rather than saying execution is not happening, it is being executed at a reasonable pace."

Regarding the negative returns, Minister Choi added, "These funds are evaluated over a five-year period," and stated, "If you extend the period by one year and measure returns from 2019 to 2024, the average return is about 7%."