Seoul: President Lee Jae Myung announced plans on Monday to utilize additional tax revenue from the booming semiconductor industry to establish a "future response fund." This strategic initiative aims to invest in future industries and policies benefiting younger generations.
According to Yonhap News Agency, the announcement was made during a meeting focused on state financial strategies. The country anticipates increased tax revenue due to record-high earnings by chipmakers, fueled by the artificial intelligence (AI) semiconductor surge. President Lee emphasized the importance of using these "precious resources" strategically to secure global leadership in the AI era.
The future response fund will concentrate on investing in future industries, youth policies, regional development, and education. President Lee expressed that these investments are crucial for enhancing the economy's growth potential and ensuring equitable distribution of the benefits derived from the AI boom.
Describing the fund as a "strategic investment platform," President Lee highlighted its role in facilitating bold and sustained investment in the future, aiming for significant advancements for future generations. Additionally, the government plans to mobilize resources to implement its "three megaprojects" initiative, focusing on large-scale investments in the semiconductor and AI sectors.
Earlier this month, the government revealed plans to establish a semiconductor manufacturing cluster in Gwangju as part of its "three megaprojects" initiative. President Lee assured that the government would enhance the social safety net to support young professionals and those affected by the rise of AI, ensuring inclusivity in these developments.
Furthermore, President Lee proposed a differentiated electricity pricing system that reflects supply and demand dynamics. He suggested that electricity could be priced lower during times of abundance and higher during peak demand periods, provided such adjustments do not financially burden the public.
The direction of the financial strategy discussed in the meeting, according to President Lee, will significantly impact the country's future over the next two to three decades.