'Yoon Government Youth Policy Roadmap' Establishes Housing Ladder and Creates Youth Startup Ecosystem... Launch of Integrated Recruitment Corruption Reporting Center

7th Youth Policy Coordination Committee

[Asia Economy Sejong=Reporter Kim Hyewon] The government will expand the supply of public sale housing centered on youth and apply a loan-to-value ratio (LTV) of 80% for first-time homebuyers, thereby increasing opportunities for young people to own homes.

To prevent young people from falling victim to jeonse fraud, starting next year, the government will disclose the list of landlords who habitually fail to return deposits and provide monthly rent support of up to 200,000 KRW for 12 months to low-income independent youth aged 19 to 34. To promote mid- to long-term asset formation for youth, a Youth Leap Account will be launched next year, and to ensure fair opportunities, a 'Integrated Report Center for Hiring Irregularities' will be established.

On the 26th, Prime Minister Han Duck-soo chaired the 7th Youth Policy Coordination Committee at the Korea Chamber of Commerce and Industry, where three agenda items, including the 'Yoon Seok-yeol Government Youth Policy Promotion Plan' based on the three keywords of hope, fairness, and participation, were presented and approved.

The government aims to resolve the life challenges faced by the younger generation and restore future hope through tailored policies in areas such as employment, housing, education, and welfare.

A new mid- to long-term specialized program will be established for NEET youth, and employment preparation funds (Youth Leap Preparation Funds) of up to 3 million KRW will be provided. Two additional Youth Startup Academies, which are private-sector-led initiatives where the private sector directly selects, nurtures, and invests in youth startup companies, will be added next year. Furthermore, additional youth startup funds will be raised through the Mother Fund to concentrate investments in youth startups.

Regarding public sale housing centered on youth, in response to criticism that unmarried youth have been excluded due to the focus on newlyweds, the government will expand the supply of affordable public sale housing in excellent locations such as areas near subway stations and new towns, targeting youth and first-time homebuyers without homes. The Office for Government Policy Coordination stated, "Pre-sale applications will be promoted within the year to accelerate policy outcomes." Regardless of income, housing price, or region, the LTV cap for first-time homebuyers has been relaxed to 80%, and the total loan limit has been increased from 400 million KRW to 600 million KRW.

In the education sector, cross-ministerial collaboration will promote the cultivation of future innovative talents in software, artificial intelligence (AI), semiconductors, media, and other fields, while reducing the burden of education expenses such as student loan repayments.

The Youth Leap Account, which provides government matching support for contributions made by eligible youth (aged 19 to 34) based on their income and offers tax exemptions on interest income, will be launched within next year.

Military pay will be increased to 1 million KRW for sergeants, and the government matching rate for the Soldiers’ Tomorrow Preparation Savings will be raised so that soldiers can receive up to 12.9 million KRW upon discharge (7.5 million KRW from themselves and 5.4 million KRW from the government).

Additionally, a low-interest small loan program (Sunshine Loan Youth) worth a total of 300 billion KRW will be supplied next year.

The Employment Procedures Act, which includes prohibitions on unfair hiring practices, will be fully revised into the Fair Hiring Act, and an Integrated Report Center for Hiring Irregularities will be established to prepare standard guidelines for fair hiring in the public sector.

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