Starting in 2024, the Ministry of Economy and Finance and the Ministry of Science and ICT will permanently operate an R&D budget council. This initiative aims to enhance expertise and fiscal efficiency by expanding mutual participation in the R&D budget allocation and adjustment process. Previously, communication between ministries relied mainly on informal discussions at the working level, making systematic consultation on key issues difficult. To address this, a regular council of directors will be held monthly to discuss government R&D investment directions, expenditure efficiency, and new project reviews.
The total R&D budget for 2024 is KRW 35.5 trillion, with major R&D expenditures accounting for KRW 30.5 trillion (85.3%), primarily allocated and adjusted by the Science and Technology Innovation Headquarters. The Ministry of Economy and Finance then finalizes the budget. Moving forward, the Ministry will participate in the in-depth review of R&D projects submitted by each ministry, conducted by expert committees under the National Science and Technology Advisory Council. Additionally, the Science and Technology Innovation Headquarters’ opinions will be reflected in the budget formulation process through pre-discussions in the permanent council.
Both ministries have agreed to strengthen prior consultation and joint review in the R&D budget formulation process. For major issues, vice-ministerial level consultations between the Ministry of Economy and Finance and the Science and Technology Innovation Headquarters will be held, making the cooperative structure more stable and predictable. This measure aims to resolve the problem of fragmented budget procedures caused by rigid division of roles between ministries.
The management system for new R&D projects will also be improved. Previously, some ministries and local governments submitted projects at the budget formulation stage that had not been reviewed by the Science and Technology Innovation Headquarters. Going forward, such requests will be restricted in principle, except for cases of national policy importance or urgency. Even in these cases, projects will undergo thorough review by the advisory council, further strengthening accountability and transparency in R&D investment. These improvements will be applied from the next budget formulation process.