|
Analysis South Korea’s innovation drive faces long-term risks despite R&D spending surgeThe 2025 budget accelerates short-term innovation, but chaebol dominance and talent gaps persist South Korea’s 2025 budget proposal, which features an 11.8% increase in research and development (R&D) spending, signals a continued push toward investment in artificial intelligence (AI), biotechnology and quantum computing. However, South Korea faces a deeper concern: the long-term sustainability of the country’s innovation model. SOUTH KOREAN INNOVATION South Korea consistently ranks as one of the world’s most innovative countries. Bloomberg’s 2021 Innovation Index gave the top spot to South Korea, citing the country’s strong performances in patent activity, R&D intensity and manufacturing capability. The Global Innovation Index of 2023 also placed South Korea in 10th place. However, © Korea Risk Group. All rights reserved. |





