3rd Ministerial Meeting on ‘Growth through Innovation’
3rd Meeting Discusses Role of Public Sector in Pursuit of ‘Growth through Innovation’
Deputy Prime Minister Kim Dong Yeon presided over the 3rd Ministerial Meeting on ‘Growth through Innovation’ held on August 2, and discussed the role of the public sector in pursuit of ‘growth through innovation’ and ways to successfully achieve ‘growth through innovation’.
The following is a summary of Deputy Prime Minister Kim’s keynote address:
Role of the public sector
As the market and private sector are the major players of ‘growth through innovation’, government should work to create an environment that can promote entrepreneurship, a driving force for ‘growth through innovation’. The government will have the public sector increase their support for the private sector.
- Increase investment in venture projects: More than 30 trillion won by 2022 to support the eight pilot projects[1]
- Share data with the private sector and increase startup support
The government will support public institutions investing in those pilot projects as we will revise the management evaluation of public institutions for them to continue to invest without worrying too much about their financial ratios, as well as reviewing the public procurement system.
Ways to successfully achieve ‘growth through innovation’
Although we need to quickly improve regulations whose reforms have been suspended, discussion on ‘growth through innovation’ should go beyond regulatory reform to areas where we can find our future growth engines. We will discuss how to use sharing economy platforms to develop the service sector, what regulations need to be improved to promote M&As, and what to do to successfully achieve ‘growth through innovation’. To promote M&As, we will discuss the reforming of venture holding company regulations to help create a virtuous cycle of investment-growth-reinvestment. To successfully achieve ‘growth through innovation’, we have to keep the following three points in mind:
- Ministers are in charge of the projects, and closer government-wide cooperation is required
- We need to include local economies, including local governments, industries and universities, in our pursuit of ‘growth through innovation’
- We will work incessantly to identify best future growth engines and will concentrate our investment on them
Please refer to the attached pdf
