Korea’s annual government spending will top 1 quadrillion won by 2030 under Lee Jae Myung administration fiscal expansion, government figures showed Tuesday. The Ministry of Planning and Budget said spending will rise to 820.9 trillion won next year, 957.4 trillion won in 2029 and 1.005 quadrillion won in 2030. Officials said the plan is backed by strong tax revenue from semiconductor earnings, while the managed fiscal deficit is expected to stay below 3 percent of GDP through 2030.
Construction is underway on SK hynix’s semiconductor fab in West Lafayette, Ind., Friday. Yonhap
Korea’s annual government spending will surpass 1 quadrillion won ($729 billion) for the first time by 2030, driven by aggressive fiscal expansion under the Lee Jae Myung administration, government figures showed Tuesday.
According to the 2026-2030 fiscal plan published by the Ministry of Planning and Budget, government expenditure will reach 820.9 trillion won next year before climbing to 957.4 trillion won in 2029 and reaching 1.005 quadrillion won in 2030.
The spending expansion is largely fueled by surging tax revenues, driven by strong corporate earnings in the semiconductor sector.
