South Korea to create 3 trillion won fund for overseas construction projects

South Korea plans to create a 3 trillion won fund to help its companies win construction projects abroad.

Finance and Economy Minister Lee Hyoung-il announced the plan at a government meeting in Seoul on October 12.

The government wants to move beyond supporting individual projects and build joint investment partnerships with other countries and regions.

It also plans to encourage packages that cover development, construction and maintenance, linking overseas work with local economies.

Officials say this approach responds to a global infrastructure market increasingly focused on investment-led projects with higher value.

The government also plans cooperation projects such as an industrial complex in India for Korean companies, and will use economic talks with partner countries to support them.

Lee said South Korea’s current account had recorded a surplus for 40 straight months through August, but warned that high global interest rates, public debt risks in major economies and possible adjustments to AI investment could pose challenges.

The government says it will monitor economic and financial risks and continue efforts to stabilize markets.