Kamco to Invest 376 Billion KRW in Public Development Projects, 166% Increase from Previous Year

Korea Asset Management Corporation Headquarters
Photo by Korea Asset Management Corporation

[Asia Economy Reporter Song Seung-seop] Korea Asset Management Corporation (KAMCO) announced on the 8th that it plans to issue contracts worth 376 billion KRW to expand public development projects.

This year, KAMCO intends to spend a budget of 376 billion KRW on about 200 contracts for construction, services, and goods procurement related to national and public land development projects. This represents a 166% increase compared to last year's planned contract amount of 221 billion KRW.

KAMCO is promoting the expansion of public development projects to support the Korean New Deal policy and local government life SOC complex projects. Accordingly, 301 billion KRW will be invested in about 50 facility construction projects, 34 billion KRW in about 40 design and service projects, and 32 billion KRW will be used for 100 goods procurement contracts.

To select companies with technical skills and quality for facility construction, KAMCO will also expand the ‘technical-type bidding’ method, which combines design and construction into a single bid. The introduction of the ‘Construction Management Responsibility (CMR)’ method, where the construction company participates from the design stage to share development know-how in advance and completes the project responsibly within the agreed construction cost with the client, is also being pursued.

When conducting evaluations for design service reviews, the score ranges by grade will be narrowed. This improvement in scoring aims to prevent extreme evaluations by some members from affecting the selection outcome.

When designing public buildings specialized for uses such as childcare facilities and sports facilities, a separate female private architect selection committee will be formed. If architects without prior project selection experience participate, a special competition will be held to expand opportunities for capable small-scale firms.

Additionally, when promoting public development projects, ESG management policies will be applied to prioritize the purchase of eco-friendly and innovative products. A certain percentage or more of purchases will be limited to small and medium-sized enterprises located in local areas to promote regional economic revitalization.

Moon Sung-yoo, President of KAMCO, emphasized, “We hope that the public development projects promoted by KAMCO will contribute to job creation and economic revitalization,” and added, “KAMCO will continue to faithfully fulfill its role as a public developer.”

This content was produced with the assistance of AI translation services.