The South Korea Financial Services Commission has published a joint government strategy that would increase investment across young people’s development stages from KRW 28.2 trillion in 2026 to KRW 43.3 trillion under the 2027 budget proposal. The strategy focuses on access to employment and entrepreneurship, disparities in education, housing and asset formation, and support for living standards and family formation. Measures include employment training and first-career programs, hiring incentives, support for startup costs and expanded scholarships. The government plans to allocate at least 50% of new universal public rental housing to young people and broaden rent and deposit-guarantee assistance. Financial measures include an interest-free grace period for eligible job seekers under a new Youth Opportunity Fund, youth savings and individual savings account tax incentives, and a 100% government match on military service savings contributions of up to KRW 550,000 a month. New family measures from July 2027 include childbirth support of KRW 10 million to KRW 20 million and monthly basic child allowances. The government also plans to establish a Future Response Fund, financed mainly by additional tax revenue, and publish a medium- to long-term national development strategy by the end of 2026. Under a specified scenario involving a first child born in a preferential region and parents at 100% of median income, total support could reach about KRW 195.82 million through age 34.
2026-08-28South Korea Financial Services Commission
South Korea Financial Services Commission jointly unveils 2027 youth investment strategy, raising proposed funding 53.5% to KRW 43.3 trillion
The South Korea Financial Services Commission has published a joint government strategy that would raise youth investment 53.5% to KRW 43.3 trillion in 2027. The package expands employment, education, housing and asset-building support, alongside new family benefits and a planned Future Response Fund.