Gyeongbuk Province's Budget for Next Year Increases by 5.2%, Surpasses 13 Trillion for the First Time... Focused Investment on Low Birthrate and APEC

Gyeongbuk Province announced on the 10th that it has prepared a budget proposal of 13.2618 trillion KRW for next year and submitted it to the Gyeongbuk Provincial Council.

The 2025 budget size is 654.1 billion KRW (5.2%) larger than this year's original budget of 12.6078 trillion KRW.

The general account increased by 607.4 billion KRW (5.5%) from last year to 11.7267 trillion KRW, and the special account increased by 46.7 billion KRW (3.1%) from last year to 1.5351 trillion KRW.

Gyeongbuk Provincial Government Office

Despite difficult conditions such as continuous growth slowdown and economic contraction, Gyeongbuk Province continued its growth and development trend by breaking through the 13 trillion KRW budget size for the first time through strong fiscal innovation and aggressive national fund acquisition.

In addition, performance-based restructuring was carried out by reducing 20-30% of projects with poor performance evaluation and re-examining local subsidy projects supported for more than three years from the starting point, securing fiscal soundness and efficiency.

By intensively investing in key tasks such as the low birthrate overcoming project, strengthening Gyeongbuk’s status through the successful hosting of APEC, revitalizing private investment through the creation of a 1 trillion KRW fund, realizing a local era led by Gyeongbuk, and expanding future growth engines such as BBC+E (Battery, Bio, Semiconductor + Energy), Gyeongbuk has prepared a catalyst budget that can once again become the center of growth in South Korea.

Looking at the major budget allocation status for 2025, first, under the slogan “Happy Gyeongbuk Thanks to Children!!,” the ongoing war against low birthrate will be further upgraded to create a “success story of overcoming low birthrate” by strengthening customized support.

A total of 57 billion KRW will be invested in happy childbirth projects such as maternal and newborn health care support (8.8 billion KRW) and establishing a one-hour obstetrics and pediatrics treatment system (4.2 billion KRW), and 116.8 billion KRW will be invested in full care projects such as spreading K-Bodeum childcare paradise (47.3 billion KRW), supporting public daycare centers (7.3 billion KRW), and supporting the construction of integrated care clusters (4 billion KRW).

In addition, 16.4 billion KRW will be invested in safe housing projects such as support for purchased rental housing supply (12.5 billion KRW) and monthly rent support for young newlyweds (2.7 billion KRW), 400 million KRW in meeting support projects, 3.7 billion KRW in work-life balance projects, and 3.9 billion KRW in gender equality projects. In particular, not only the general account budget but also the Women and Family Fund and the Low Birthrate Overcoming Fund will be actively utilized to invest 6 billion KRW in 25 projects such as the visiting obstetrics bus and our neighborhood dad classes to support overcoming the low birthrate.

Second, to spread the excellence of K-Hallyu culture and prepare a foothold for South Korea’s future industries to enter the global market, all resources will be invested to host the most successful APEC summit ever with the power of Gyeongju’s thousand-year history of Silla and Gyeongbuk’s strength that has protected South Korea. A total of 88.5 billion KRW will be directly invested in supporting the successful hosting of the APEC summit, including remodeling the convention center (24.4 billion KRW), maintaining parking facilities, exhibition halls, and event venues (42.1 billion KRW), remodeling accommodation facilities and supporting lodging and meals (7.1 billion KRW), and operating volunteers (4.8 billion KRW). Additionally, 110.1 billion KRW will be invested in four projects such as creating the APEC banquet hall through central government ministries like the Ministry of Foreign Affairs and the Ministry of Culture, Sports and Tourism.

Moreover, Gyeongbuk Province is making every effort by stationing a dedicated national fund acquisition team at the National Assembly to secure an additional 174.4 billion KRW in national funds for four projects, including the construction of the APEC Memorial Park and Memorial Hall, which were not reflected in the government budget proposal.

Third, to realize “the local era led by Gyeongbuk, a local era where anywhere in Gyeongbuk is a good place to live,” focused investment will be made to establish a sustainable development foundation such as promoting the Regional Innovation-Centered University support system (RISE), supporting vulnerable groups, and supporting small business owners. A total of 345.1 billion KRW will be spent on laying the foundation for the local era led by Gyeongbuk, including the Regional Innovation-Centered University support system (162.2 billion KRW), K-Scientist Village creation (38.8 billion KRW), K-U City residential environment creation (2.1 billion KRW), and the construction of the K-U City regional industry-based research support center (1.9 billion KRW).

A total of 1.7882 trillion KRW will be spent on establishing a sustainable development base in Gyeongbuk, including expanding and maintaining national and local roads (198.6 billion KRW), electric vehicle distribution (120.5 billion KRW), urban regeneration New Deal (35.8 billion KRW), and reducing emissions from operating diesel vehicles (36.7 billion KRW). A total of 3.2735 trillion KRW will be used for responsible welfare support that ensures everyone’s peace of mind, including basic pension support (1.7194 trillion KRW), basic living security livelihood benefits (576.8 billion KRW), and elderly job and social activity support (192.9 billion KRW).

A total of 196.2 billion KRW will be invested in improving the regional medical system, including supporting the management innovation of local medical centers (7.6 billion KRW), supporting facilities and equipment for regional responsibility medical institutions (10.8 billion KRW), supporting the operation of emergency medical institutions in vulnerable areas (4.3 billion KRW), and supporting medical personnel salaries (3 billion KRW). A total of 36.9 billion KRW will be used to establish a foundation for small business success, including modernizing traditional market facilities (7.3 billion KRW), interest subsidies for small business nurturing funds (4 billion KRW), supporting small business card fees (3 billion KRW), and supporting commercial district renaissance projects (2.5 billion KRW).

A total of 66.5 billion KRW will be invested to support the realization of youth dreams, including youth monthly rent support (7.8 billion KRW), youth challenge support projects (1.2 billion KRW), youth growth projects (800 million KRW), and youth dream allowance (800 million KRW).

Fourth, focused investment will be made to secure Gyeongbuk’s future growth engines by supporting all-around technological innovation and competitiveness enhancement in the main industry ecosystem, such as “Gyeongbuk’s future growth engine BBC+E” and “technology-driven industrial transformation.”

In addition, 10.35 billion KRW will be spent on strengthening regional key industries and building future industrial ecosystems (BBC+E), including regional key industry nurturing projects (5.2 billion KRW), establishing a base for animal green bio-pharmaceutical industrialization (4.2 billion KRW), building inline automatic evaluation facilities for used electric vehicle batteries (3.1 billion KRW), establishing a demonstration base for advanced defense industry system semiconductors (700 million KRW), and building a hydrogen fuel cell industry cluster (2.5 billion KRW). A total of 1.1326 trillion KRW will be invested for the early realization of a major transformation in Gyeongbuk’s agriculture and livestock industry, including rural space creation (25.7 billion KRW), regional specialized rental smart farm creation (4.7 billion KRW), support for young farmers’ settlement (19.9 billion KRW), forage production support (6.6 billion KRW), and livestock odor improvement (2 billion KRW).

A total of 27.86 billion KRW has been allocated for forest and fishery transformation promotion, including policy forest cultivation (41.7 billion KRW), climate response urban forest creation (13.5 billion KRW), and new vitality promotion projects for fishing villages (28.2 billion KRW). A total of 3.92 billion KRW will be invested to revitalize private investment through a 1 trillion KRW private investment fund project, including local investment promotion subsidies (21.8 billion KRW), regional innovation venture mother fund (1.7 billion KRW), regional industry vitality R&D fund (1.5 billion KRW), and Gyeongbuk-type regional New Deal venture fund (500 million KRW).

Lee Cheol-woo, Governor of Gyeongbuk Province, said, “Although the fiscal conditions are difficult, in 2025, we will invest in key areas such as the full-scale war against low birthrate, successful hosting of APEC to elevate the global Gyeongbuk brand value, creation of a 1 trillion KRW catalyst fund to revitalize private investment, and nurturing future growth engine industries, so that Gyeongbuk can once again leap forward as the center of South Korea.”

Meanwhile, the 2025 budget proposal submitted by Gyeongbuk Province is expected to be finalized on December 11 after deliberation by the standing committees and the budget and accounts committee of the Provincial Council.

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