Ruling Party and Government to Provide Over 10 Trillion Won Additional Funding to Startups... "Dispelling Sense of Crisis"

On the 19th, Min-Dang-Jeong Council Meeting Held at the National Assembly
Agreement Reached to Pursue Bold Institutional Reforms

The People Power Party and the government decided on the 19th to provide additional growth funds exceeding 10 trillion won to 700,000 ventures and startups.

Park Dae-chul, the policy chief of the People Power Party, said to reporters after the "Consultative Meeting on Venture and Startup Support Measures to Expand New Growth Engines" held at the National Assembly on the same day, "In response to recent concerns about the contraction of venture investment due to high interest rates and the bankruptcy of Silicon Valley Bank (SVB), we shared the recognition that we must fully support the expansion of funding to dispel the on-site sense of crisis and support the stable growth of ventures and startups." The consultative meeting was attended by Lee Young, Minister of SMEs and Startups, Kim Ju-hyun, Chairman of the Financial Services Commission, and Kim Sung-tae, President of IBK Industrial Bank of Korea.

Lee Young, Minister of SMEs and Startups, is speaking at the private-party-government council meeting on venture and startup support measures to expand new growth engines held at the National Assembly on the 19th. Photo by Kim Hyun-min kimhyun81@

Policy Chief Park explained, "This includes additional supply of guarantees from the Korea Credit Guarantee Fund for early-stage companies, a significant expansion of secondary funds and global funds to support growth stages, and an increase of more than 10 trillion won in policy funds, guarantees, venture funds, and research and development (R&D) funds for each stage of company growth compared to the existing plan."

The People Power Party and the government also agreed to actively pursue bold institutional improvements to promote venture investment. Park said, "The Venture Business Act, which allows multiple voting rights for unlisted venture companies continuously nurtured by the venture industry, is currently pending in the Legislation and Judiciary Committee. We will ensure the passage of this bill and implement it in the second half of this year to revive the dreams and passion of venture companies," he emphasized.

Following the passage of the Venture Investment Act in the National Assembly last month, which laid the foundation for the activation of the private venture mother fund, opinions were also gathered on tax benefits for companies investing in the private venture mother fund, with plans to legislate promptly. Park said, "The party and government share the recognition that ventures and startups are the future growth engines of our economy, and we will continue to work closely with the venture and startup sectors to develop policies that can provide practical help."

The measures discussed on this day, including the above, will be finalized and announced at the National Affairs Ministers' Meeting chaired by the Prime Minister on the 20th.

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