"Yoon Government Accelerates Deregulation: Allows Construction on 299 Private University Income Properties and Converts Student Loans to Low Interest Rates"

[Asia Economy Sejong=Reporter Kim Hyewon] In the future, it will be possible to construct revenue-generating properties within private universities. Regulations are being relaxed to allow activities such as attending lectures, shopping, and dining within a single building, similar to a complex community facility. Additionally, high-interest student loan borrowers from 2010 to 2012 are now included among those eligible for conversion to a low-interest rate of 2.9%.

On the 28th, the government held a National Policy Issue Inspection and Coordination Meeting at the Government Seoul Office, chaired by Prime Minister Han Duck-soo, to review the status of regulatory innovation tasks being promoted by various ministries.

As of the 28th, the government is managing a total of 1,004 tasks, of which 140 have completed improvement measures such as legal amendments, and 703 are currently being implemented by the relevant ministries. Among these, 161 tasks that were initially rejected will undergo further review.

Among the 140 tasks completed since the new government took office, the breakdown by sector is ▲support for private activities 51 cases ▲support for new industries 19 cases ▲relief of burdens on small and medium enterprises and small business owners 21 cases ▲alleviation of public inconvenience 49 cases. By ministry, the Ministry of Health and Welfare completed 22 cases, the Ministry of Employment and Labor 16 cases, the Ministry of Trade, Industry and Energy 8 cases, the Ministry of Food and Drug Safety 8 cases, and the Ministry of Education 7 cases.

In the field of support for private activities, notable measures include the relaxation of property management regulations for private universities and the expansion of the scope of use for industrial safety and health management expenses. In response to criticism that the use of revenue from private university-owned assets such as land and buildings was excessively restricted, the criteria for converting educational properties to revenue-generating properties have been eased, and construction of revenue-generating properties will be permitted. The types of businesses allowed within educational facilities will also shift to a negative regulation system. This means that facilities such as coffee shops and bowling alleys can be established within 299 private universities nationwide. However, entertainment facilities that disrupt the study environment remain prohibited.

The scope of recognized uses for industrial safety and health management expenses, which the construction industry has consistently requested, will be expanded to include smart safety equipment, rest facilities, and wages for part-time safety managers. This applies to approximately 285,000 construction sites with projects exceeding 20 million won.

In the area of alleviating public inconvenience, the eligibility for low-interest conversion of student loans will be expanded. Borrowers from 2010 to 2012 (with interest rates between 3.9% and 5.7%) will be converted to a low interest rate of 2.9%, reducing individual interest burdens by 1 to 2.8 percentage points. Approximately 90,000 people are eligible, and benefits totaling about 3.6 billion won are expected.

Support for vulnerable groups’ use of public postpartum care centers will be expanded to include helper services and maternal and newborn health care services, easing the economic burden on national merit recipients, persons with disabilities, and single-parent families.

Additionally, lodging business operations will be permitted even if the facility has fewer than 30 rooms or less than one-third of the building’s total floor area, as long as the rooms are separated on an independent floor. This lowers entry barriers, allowing lodging facilities to operate with small investments.

The use of reclaimed land projects has been expanded to include forest products such as mushrooms, chestnuts, pine nuts, jujubes, and walnuts.

To promote investment in the biohealth industry, the special provisions for constructing research facilities and various fee reduction clauses have been extended for an additional 10 years until March 2032.

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