Ruling and Opposition Parties Agree to Process Next Year's Budget Bill on December 2... "Statutory Deadline to Be Met for First Time in 5 Years" (Update)

AI and Reserve Fund Cuts, Increased National Scholarship Funding
Third On-Time Budget Approval Since 2014
Plenary Session at 4 p.m.; Final Vote Expected Late at Night

On December 2, the ruling and opposition parties reached an agreement to process the budget bill by the statutory deadline. While the budget for regional gift certificates and similar items will be maintained, funding for artificial intelligence (AI) support and reserve funds will be reduced. Through the National Assembly's budget review, it is expected that there will be both reductions and increases totaling approximately 4.3 trillion won compared to the government's original proposal.

Kim Byunggi, Floor Leader of the Democratic Party, and Song Eonseok, Floor Leader of the People Power Party, signed the agreement for next year's budget bill on this day. The ruling and opposition parties have agreed to process the budget bill for the coming year within the statutory deadline.

For the first time in five years, the budget bill, which had not been processed by the statutory deadline since 2020, will be handled according to the provisions of the National Assembly Advancement Act. Since the implementation of the National Assembly Advancement Act, which includes the automatic referral system for the budget bill, the statutory deadline was met only twice-in 2014 and 2020.

The plenary session is scheduled to convene at 4 p.m., where supplementary bills related to revenue will be addressed first. Due to the significant time required for detailed budget sheet work, the budget bill itself is expected to be processed late at night.

Eon-Seok Song (left), Floor Leader of the People Power Party, and Byung-Gi Kim, Floor Leader of the Democratic Party, are taking a commemorative photo after signing an agreement for the passage of the 2026 budget bill at the National Assembly in Yeouido, Seoul on December 2. On the far right is Yoon-Chul Koo, Deputy Prime Minister and Minister of Economy and Finance. 2025.12.2 Photo by Hyun-Min Kim

According to the agreement released by the ruling and opposition parties, about 4.3 trillion won was cut during the National Assembly's review process. Although detailed information has not been disclosed, it is known that reductions were made to the budgets for AI support, policy funds, and reserve funds.

The total scale of increases is expected to be adjusted within the 4.3 trillion won range. The ruling and opposition parties have agreed that the total government expenditure for next year's budget will not exceed the 728 trillion won proposed by the government.

Regarding budget increases, the parties have agreed to increase funding for the establishment of a disaster recovery system at the National Information Resources Service, which experienced a fire, as well as for the development of the distributed power grid industry and the AI mobility demonstration project. Additionally, support for the installation of city gas supply pipelines, national scholarship support, and the honor allowance for veterans will also be expanded.

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