MoEF Holds Mid-to-Long-Term Strategy Meeting... "Let's Double the Climate Response Fund by 2030"

The ‘Mid- to Long-term Strategy Committee,’ an advisory committee to the Ministry of Economy and Finance, voiced the need to more than double the size of the Climate Response Fund by 2030.

On the 7th, Professor Oh Hyung-na of Kyung Hee University’s Department of International Studies attended the Mid- to Long-term Strategy Committee meeting held at the Korea Press Center in Jung-gu, Seoul, and made this statement under the theme of ‘Mid- to Long-term Policy Tasks for Transitioning to a Low-Carbon Economy.’ About 20 private sector experts from various fields participated in the committee meeting that day.

The Climate Response Fund is a fund operated since 2022 under the Carbon Neutrality Framework Act to respond to the climate crisis and promote the implementation of carbon neutrality. The Climate Response Fund allocated this year amounts to 2.3918 trillion KRW, and Professor Oh believes that to promote the low-carbon transition of Korean companies, government finances and private resources must be actively utilized.

However, she expressed the need to expand a selective and concentrated financial support system. This means that resources should be selectively and intensively invested with the carbon reduction effect and companies’ own reduction efforts as the top priority.

Chairman Park Jae-wan of the Mid- to Long-term Strategy Committee also emphasized in his opening remarks that “First, we must select and concentrate investment in areas where our companies can have a competitive advantage in low-carbon technologies,” and “In selecting support targets for low-carbon technology development, the carbon reduction effect should be prioritized above all else to maximize the effectiveness of support regardless of company size.”

Kim Beom-seok, the 1st Vice Minister of the Ministry of Economy and Finance, stated, “We will strengthen the financial and fiscal support foundation for the low-carbon transition.” He added, “We will make efforts to significantly expand the size of the Climate Response Fund and broaden the scope of green finance to include transition finance. Based on this, we will focus on fostering green strategic industries suitable for Korea, such as clean energy and zero-emission vehicles.”

Meanwhile, the committee is preparing the ‘Vision for Future Generations and Mid- to Long-term Strategy,’ aiming to announce it by the end of this year. The committee plans to reflect the discussions held that day in the mid- to long-term strategy and also develop response strategies for other challenges, such as expanding human capital to enhance growth potential.

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