High-tech, healthcare and defense sectors gain, while public housing, infrastructure and regional growth face cuts
South Korea’s 2025 budget proposal, amounting to approximately $509.7 billion (677.4 trillion won), outlines a plan to increase government spending by 3.2% while aiming to reduce the fiscal deficit to 2.9% of gross domestic product.
Some sectors benefit from increased allocations while others face significant cuts. These cuts impact domestic and foreign businesses, creating “winners” and “losers” depending on their alignment with government priorities.
South Korea’s 2025 budget proposal, amounting to approximately $509.7 billion (677.4 trillion won), outlines a plan to increase government spending by 3.2% while aiming to reduce the fiscal deficit to 2.9% of gross domestic product.
Some sectors benefit from increased allocations while others face significant cuts. These cuts impact domestic and foreign businesses, creating “winners” and “losers” depending on their alignment with government priorities.
Get 30 days
of free access to
KoreaPro
Full access to all analysis
The KOREA PRO newsletter, every business day
Daily analysis on the top story of the day
The ability to suggest topics for coverage by our specialist team
Be smart about South Korea
Get full access to expert analysis and opinion.
Start now
No charges during your trial. Cancel anytime. A paid subscription will start after 30 days.
© Korea Risk Group. All rights reserved.
No part of this content may be reproduced, distributed, or used for
commercial purposes without prior written permission from Korea Risk
Group.