South Korea plans to create a new “future response fund” financed by tax windfall from its booming semiconductor industry, including the latest AI-driven chip upswing, according to multiple reports. Yonhap, cited by Bloomberg, and a senior presidential official, reported by other outlets, say the fund will channel additional tax revenues into major national and industrial investment projects aimed at strengthening long-term economic competitiveness. The government describes the approach as using extra revenues carefully rather than spending them immediately at a critical time for the country’s future. The Korea Times reports that the fund is linked to the administration’s broader priorities, including three industrial megaprojects unveiled last week. In addition, officials say part of the money is intended to support younger people, including those in their 20s and 30s, though details of eligibility and programme design are not specified in the reports. The plans are discussed at a high-level meeting between the government and the ruling Democratic Party of Korea, with the presidential chief of staff outlining how the fund is meant to serve as an investment source for future generations.
South Korea to set up future response fund using semiconductor tax windfall
South Korea plans to create a new “future response fund” financed by tax windfall from its booming semiconductor industry, including the latest AI-driven chip upswing, according to multiple reports. Y...
- South Korea plans to create a new “future response” investment fund.
- The fund will be financed using tax windfalls from the semiconductor industry’s boom, including AI-linked chip demand.
- The fund is intended to support long-term economic growth and strengthen national competitiveness through major industrial or national investment projects.
- Officials say the additional semiconductor tax revenue should not be spent “carelessly,” and will be invested for future priorities.
- The government also says the fund will help support younger people, including those in their 20s and 30s, though specifics are not detailed.
The government plans to establish a new fund to effectively invest windfall tax revenue generated by the semiconductor industry’s artificial intelligence (AI)-driven boom, presidential chief of staff Kang Hoon-sik said Sunday. He explained that the fund is intended to finance future priorities and challenges, including the government's three industrial megaprojects unveiled last week, as well as support for people in their 20s and 30s. "We must not spend the additional tax revenue resulting from the semiconductor upturn carelessly at this critical moment that will determine Korea's future," Kang said during a high-level meeting between the government and the ruling Democratic Party of Korea (DPK) at the prime minister’s official residence in Seoul. He went on to say the Lee Jae Myung administration plans to establish what he called a "future response fund" to use additional tax revenue as a "source of investment for future generations." “The creation of the future response fund will lay the foundation for realizing an ‘irreplaceable Korea,’” he added, calling for close cooper
1 hour agoSouth Korea plans to create an investment fund using tax revenue from its burgeoning semiconductor industry to finance long-term economic growth, Yonhap News reported Sunday citing the presidential chief of staff.
1 hour agoSouth Korea plans to channel windfall tax revenue from its booming semiconductor industry into a new future fund. The money would help finance major industrial projects and to support younger generations.
2 hours agoA top official says the government will use the "Future Response Fund" to help finance major national investment projects and strengthen the country's long-term competitiveness.
4 hours ago
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