5^th Ministerial Meeting on ‘Growth through Innovation’

5^th Meeting Discusses Ways to Accelerate

‘Growth through Innovation’

Deputy Prime Minister Kim Dong Yeon presided over the 5^th Ministerial Meeting on ‘Growth through Innovation’ held on August 13, and discussed ways to accelerate ‘growth through innovation’.  Deputy Prime Minister Kim also talked about the outcomes of regulatory reform produced by the joint private-public ‘growth through innovation’ taskforce.

The following is a summary of Deputy Prime Minister Kim’s keynote address:

Accelerate ‘growth through innovation’

The government has decided to work on a platform economy, whose impact is powerful and far-reaching, and I want today’s discussion on ‘growth through innovation’ investment to be a point of departure for Korea to develop a strong platform economy.  There have been discussions among ministries and private sector experts on how to develop a platform economy, and we have come up with the four projects in which we will continue to invest with a long-term perspective:  1) building a digital platform for big data and AI, along with promoting blockchain technology to secure data transactions and the sharing economy, 2) easing data divide, 3) setting up a hydrogen fuel cell supply chain and 4) developing an education program to meet the demand for qualified workforce needed in the future

We will draw up a 5 year plan for the four projects, which will clearly show our mid-term goals and will help other industries related develop.  With regard to budgets, we will spend a total of 5 trillion won in 2019 on the platform economy and the 8 pilot projects[1], an increase of more than 2 trillion won compared with 2018.  Over the next five years, a total of 9-10 trillion won will be invested in the platform economy, 1.5 trillion won being spent next year.  The 2019 budget for the 8 pilot projects will be 3.5 trillion won, a 62 percent increase from 2018, and we will also draw up a five year plan for the 8 pilot projects as soon as possible.

Address compliance difficulties

The private-public joint taskforce has toured around the country, visiting businesses and listening to their compliance difficulties.  The taskforce’s hard work began to produce outcomes and more than 100 billion won worth of investments suspended due to compliance difficulties will soon be made.  The joint taskforce worked closely with the local regulatory authorities to find solutions, and the outcomes are

- Allowing manufacturing facilities on the site approved for R&D facilities only[2]

- Easing business location regulations, allowing various businesses to be located in the industrial site[3]

- Giving a construction permit for manufacturing facilities which will be built in a way favored by young employees[4]