Ministry of SMEs and Startups Holds 2nd Anniversary Forum for Regulatory Free Zones
Total of 24 Zones Designated... Achievements Including 771.3 Billion KRW Investment
Daegu, Gyeongbuk, and Jeonbuk Zones Rated 'Excellent' Among 14 Locations
Kwon Chil-seung, Minister of SMEs and Startups, is delivering a greeting at the 2nd Anniversary Forum of Regulatory Free Zones held at the Korea Chamber of Commerce and Industry on the 20th.
[Asia Economy Reporter Kim Bo-kyung] The Ministry of SMEs and Startups held a forum on the 20th at the Korea Chamber of Commerce and Industry to mark the 2nd anniversary of the Regulatory Free Zone implementation. While the Regulatory Free Zone has achieved results such as job creation and investment attraction, opinions were raised that regulatory adjustments, including legal amendments for commercialization, are necessary.
Since the enactment of the Regulatory Free Zone Act in April 2019, the Ministry of SMEs and Startups has been implementing the Korean-style regulatory innovation system called the Regulatory Free Zone, which lifts bundled regulations across new industry sectors and revitalizes the regional economy.
Over the two years of the Regulatory Free Zone system, 24 Regulatory Free Zones were designated in four rounds, easing 128 regulations. At least one zone was designated in 14 non-metropolitan cities and provinces, establishing a nationwide scale.
Through the Regulatory Free Zones, tangible results such as 1,225 jobs created, 771.3 billion KRW in investment attracted, 18 factories established within the zones, and 170 companies attracted were achieved. The Ministry of SMEs and Startups evaluated that it contributed to fostering innovative industries in the regions and balanced regional development through regulatory relaxation.
At this forum, government and industry-academia stakeholders shared the significance of launching the Regulatory Free Zones and discussed future development directions through various cases of achievement.
Following case presentations on the Gyeongbuk Next-Generation Battery and Gangwon Digital Healthcare Zones, a keynote presentation offered a blueprint for the Regulatory Free Zones from the perspective of private experts.
In particular, it was emphasized that for the zone achievements to continue without interruption, it is essential to stabilize the demonstration projects of the 1st and 2nd zones ending in August and December, respectively, through regulatory and legal adjustments.
Minister Kwon Chil-seung of the Ministry of SMEs and Startups stated, "Remote medical care is spreading worldwide, and the public is positive about its introduction, but amending the Medical Service Act to realize this remains our task. We must promptly revise regulatory laws starting with remote monitoring to eliminate medical blind spots and enhance public convenience without hesitation."
The Ministry of SMEs and Startups plans to strengthen commercialization measures by supporting various policy tools such as research and development, funding, and market access tailored to corporate demands to ensure early visibility of zone achievements.
Meanwhile, the Ministry conducted an operational performance evaluation of the 14 1st and 2nd Regulatory Free Zones designated in July and November 2019. As a result, three zones?Daegu Smart Wellness, Gyeongbuk Next-Generation Battery, and Jeonbuk Eco-friendly Vehicles?received an 'Excellent' rating.
The Jeonnam Medium Voltage DC Transmission and Distribution Industry Zone, which showed delayed demonstration starts compared to the original plan and insufficient achievement, received a 'Poor' rating.
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