President Lee Jae Myung (right) on Sept. 10 attends a conference on the National Growth Fund at the startup support center Front1 in Seoul's Mapo-gu District. (Office of the President)

By Xu Aiying

The newly launched National Growth Fund will invest KRW 150 trillion over the next five years in high-tech sectors centered on artificial intelligence (AI) and semiconductors.

The Financial Services Commission on Sept. 10 announced this at a meeting on the fund chaired by President Lee Jae Myung with officials from related ministries.

"The National Growth Fund will breathe new life into our industry," President Lee said. "I am confident that our people, government and business community will team up to form a solid cornerstone for the future of the Republic of Korea."

"We decided to raise the fund 50% to KRW 150 trillion," he added. "We also thoroughly revamped our support measures to ensure large long-term investment in core industries and projects to lead the economy."

The fund will back 10 high-tech strategic sectors such as AI, semiconductors, biotech, vaccine and the defense industry and related companies over the next five years.

The amount comprises KRW 75 trillion from government fund for advanced strategic industries and another KRW 75 trillion from private, public and financial institutions. Support will be managed in a comprehensive manner including direct and indirect equity investments, infrastructure financing and ultra-low interest loans.

AI will receive up to KRW 30 trillion in funding, semiconductors KRW 21 trillion, mobility KRW 15 trillion and biotech KRW 11 trillion.

xuaiy@korea.kr