Vice Chairman Kwon Daeyoung: "The Fate of Our Economy Hinges on the Success of the National Growth Fund"

Financial Services Commission, Ministry of Science and ICT, and Ministry of Trade, Industry and Energy Hold Joint Meeting on National Growth Fund
Vice Presidents of Financial Institutions and Representatives from Advanced Strategic Industry Companies A

Kwon Dae-young, Vice Chairman of the Financial Services Commission (center), held a joint meeting between the government, industry, and financial sector to ensure the success of the National Growth Fund on the morning of the 1st at the Korea Development Bank in Yeouido, Seoul. The meeting was attended by Moon Shin-hak, Vice Minister of Trade, Industry and Energy (left), Ryu Je-myung, Second Vice Minister of Science and ICT (right), and over 70 participants including deputy heads of investment and corporate credit departments from major domestic and international financial companies, as well as key figures from advanced strategic industries. Photo by Financial Services Commission

Kwon Dae-young, Vice Chairman of the Financial Services Commission, emphasized that the fate of the Korean economy and financial sector hinges on the success of the National Growth Fund, stressing that every possible resource must be mobilized to deliver tangible results.

On the morning of October 1, at the Korea Development Bank in Yeouido, Seoul, Vice Chairman Kwon hosted a joint meeting between the government, industry, and the financial sector to ensure the success of the National Growth Fund. The government plans to establish a National Growth Fund totaling 150 trillion won and, over the next five years, will focus investments in ten major advanced strategic industries such as artificial intelligence (AI), semiconductors, and biotechnology to secure future growth engines.

The meeting was co-chaired by Vice Chairman Kwon, Ryu Je-myung, Second Vice Minister of Science and ICT, and Moon Shin-hak, Vice Minister of Trade, Industry and Energy. More than 70 participants attended, including deputy heads of investment and corporate credit departments from major domestic and international financial companies, as well as representatives from advanced strategic industry companies.

Vice Chairman Kwon stated, "Since the 1960s, Korea has developed its economy through strategic government intervention and the dedication and sacrifices of its people and businesses during times of crisis and turning points. Now, our economy stands at another critical juncture, facing challenges from emerging competitors and the global technological power struggle. Therefore, it is essential to overcome growth stagnation and restructure our economy around advanced industries."

He continued, "The National Growth Fund will play a pivotal role in enabling the economy to leap forward again by establishing new growth strategies and mega projects for the next 20 years. The abundant liquidity in the financial sector must be directed not only toward real estate and collateral loans, but also toward advanced industries and productive sectors, including the AI-driven transformation."

To ensure the success of the National Growth Fund, the government plans to actively communicate with the market at every stage, from identifying individual investment proposals to project development, and to establish a decision-making structure that includes private sector experts.

The government will compose the Fund Management Deliberation Committee for the Advanced Strategic Industry Fund, which is to be established under the Korea Development Bank Act, with private sector experts. In addition, the sub-secretariat (the working-level organization within the Korea Development Bank) will actively recruit and accept secondments of experienced professionals from the private financial sector. Furthermore, to ensure that the opinions of industry and financial sector experts are effectively reflected in the National Growth Fund, a (tentatively named) National Growth Fund Management Committee will be established to systematize communication and advisory structures.

For the mega projects that will symbolize the National Growth Fund, the government will provide comprehensive solutions that go beyond financial support, including regulatory, fiscal, local government, and workforce measures. Inter-ministerial communication, such as through the Ministers’ Meeting on Industrial Competitiveness Enhancement and the Policy Financial Support Council, will be further strengthened to ensure more substantive collaboration.

Ryu Je-myung, Second Vice Minister of Science and ICT, stated, "Of the 150 trillion won National Growth Fund, more than 30 trillion won is planned for investment in the AI sector. We will focus on identifying mega projects in the AI field that can drive Korea’s leap into the global top three in AI, and will work closely with relevant ministries and policy financial institutions."

Moon Shin-hak, Vice Minister of Trade, Industry and Energy, also commented, "At a time when countries around the world are actively pursuing industrial policies, the National Growth Fund is a crucial policy tool to support national strategic industries. For the National Growth Fund to succeed, it is essential to combine industrial expertise with financial expertise." He added, "The Ministry of Trade, Industry and Energy, being at the forefront of advanced strategic industries, will actively participate in supporting the growth of promising companies and selecting investment projects, taking into account mid- to long-term industrial policy perspectives, the industrial ecosystem and supply chains, and balanced regional growth."

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