Korea to invest $20.4 bil. in AI, chip sectors via Public Growth Fund in 2026

The government plans to invest over 30 trillion won ($20.4 billion) next year to support artificial intelligence (AI) and other advanced sectors, funded by a newly launched mega-sized fund, officials said Tuesday. Last week, the 150 trillion-won Public Growth Fund, one of President Lee Jae Myung's key economic pledges, set sail with a focus on accelerating AI adoption across sectors and channeling resources into key industries, including semiconductors, secondary batteries and biotechnology over the next five years. According to the Financial Services Commission (FSC), over 30 trillion won will be initially invested next year, which includes 6 trillion won for the AI sector, 4.2 trillion won for the semiconductor segment and 3.1 trillion won in future mobility. Around 3 trillion won will be directly invested, while 10 trillion won will be allocated for infrastructure. Some 10 trillion won will be offered at low-interest rates, according to the financial regulator. The fund consists of a 75 trillion-won government-guaranteed fund for strategic industries and 75 trillion won in private inv