[2026-01-21]Korea’s 2026 Fund of Funds Strategy: Boosting AI Unicorns and Regional Growth

The Ministry of SMEs and Startups held the 2026 Fund of Funds Strategy Committee to review 2025 performance and discuss plans for 2026.
In 2025, the Fund of Funds invested KRW 1.3 trillion, created KRW 3.3 trillion in venture funds, and produced three unicorn companies; for 2026, KRW 1.6 trillion will be allocated with a focus on AI and deep tech.
Expansion of regional growth funds, enhanced investor incentives, and greater transparency are expected to drive further growth and private capital inflow in the venture market.

[2026-01-21]South Korea Officially Designates Gadukdo Attack as Terrorism, Announces 2026 Counter-Terror Plans

On January 20, 2026, the South Korean government officially designated the Gadukdo attack on President Lee Jae-myung as an act of terrorism during the 22nd National Counter-Terrorism Committee meeting.
This marks the first government-level terrorism designation since the 2016 enactment of the Counter-Terrorism Act, with plans discussed for 2026-2027 national events and enhanced safety measures.
Authorities will strengthen protection for key figures during elections, review related laws, and implement comprehensive counter-terrorism strategies for upcoming major domestic and international events.

[2026-01-21]Korean Government Unveils Co-Growth Strategy for Large and Small Businesses by 2026

On January 21, the Korean government announced a co-growth strategy for large and small businesses, led by Deputy Prime Minister Koo Yun-cheol.
The plan includes expanding economic diplomacy achievements, increasing co-financing programs, and preventing technology theft, with three main strategies and detailed tasks through 2026.
Authorities will closely monitor implementation via a new public-private joint meeting, aiming for inclusive growth across the business ecosystem.

[2026-01-21]Financial Services Commission Launches 1,240 Trillion KRW Productive Finance Initiative

The Financial Services Commission held a regular council with financial institutions to drive a major shift toward productive finance.
A five-year support plan totaling 1,240 trillion KRW was discussed, including 614 trillion from private finance and 626 trillion from policy finance.
The government and financial sector aim to boost funding for advanced industries, startups, and regional growth through close cooperation.

[2026-01-20]Korea Unveils Defense Reform Plan Focusing on AI and Advanced Technology

The Future Strategy Subcommittee concluded 10 meetings from September to December 2025 and announced its military restructuring recommendations on January 20, 2026.
The report addresses population decline, AI advancements, and diverse security threats by proposing a smart, technology-driven military leveraging advanced tech and civilian resources.
A total defense workforce exceeding 500,000—including 350,000 active troops and 150,000 civilian personnel—is recommended, with phased reforms emphasized.

[2026-01-20]Industrial Complex Regulation Eased to Boost High-Tech Investment and Community Facilities

The Ministry of Trade, Industry and Energy announced a legislative notice to ease location regulations for industrial complexes.
Key changes include allowing electrical and IT contractors to enter, expanding the scope of high-tech and knowledge industries, and opening cultural and sports facilities to local residents.
These revisions are expected to reduce business burdens and enhance investment and convenience for workers and communities in industrial complexes.