2027 fiscal policy to potentially reach $529 bil. with goal of AI transformation

Korea will pursue an expansionary fiscal policy next year to accelerate a major transition centered on artificial intelligence (AI), the government said Monday, with spending potentially approaching 800 trillion won ($529 billion). Under a set of guidelines approved by the Cabinet on the day, the government also aims to foster new growth engines and place greater fiscal emphasis on regional development, the Ministry of Planning and Budget said. According to the government's fiscal management plan for 2025-2029, spending for next year is set at 764.4 trillion won, up 5 percent from the budget of 728 trillion won in 2026. The figure does not reflect a supplementary budget of about 25 trillion won currently under preparation. If expansionary fiscal policies continue alongside improved tax revenues, next year's budget could potentially rise to around 800 trillion won. "At this point, what we can say is that we will pursue active fiscal management, as well as sustainable expansionary fiscal policy, yet it is difficult to predict the exact size of next year's fiscal spending," Cho Yong-beom, a

Go to News Site