The South Korean government announced on August 22, 2025, a new two-year economic strategy in which artificial intelligence is named a key national priority to stimulate slowing growth. According to Reuters, the plan is one of the most aggressive in the world. It includes the launch of 30 major public and private AI initiatives aimed at the deep integration of AI into industry and services. The centerpiece of the strategy will be the creation of a massive 100 trillion won (approximately $71.6 billion) investment fund to finance AI startups, infrastructure development, and talent training. Additionally, significant tax breaks and regulatory easing will be introduced for tech companies to accelerate innovation. This comprehensive approach is designed to transform South Korea into a global leader in AI and secure its technological advantage for decades to come.
South Korea Makes AI a Top Economic Priority, Creates $71.6B Fund
