"Economic Effect of 100 Billion KRW from Regulatory Sandbox Implementation"

[Asia Economy Reporter Kang Nahum] The Ministry of Science and ICT announced on the 26th that the operation of the ICT Regulatory Sandbox over the past four years has resulted in an economic effect of over 100 billion KRW in sales for participating companies.

According to key indicators revealed at the ICT Regulatory Sandbox workshop held on the 23rd, a total of 162 businesses have been granted regulatory exemptions such as temporary permits and demonstration exceptions since the system's implementation. The economic impact achieved by participating companies was recorded as 114.6 billion KRW in sales, 179.6 billion KRW in investment attraction, and 4,097 new jobs created.

In the electronic document sector, mobile electronic notification is cited as a representative regulatory exemption service case. Various notices that were previously sent on paper can now be received via mobile apps or text messages. Since the temporary permit was granted in 2019, 402 institutions have adopted the service, sending 1,276 types and approximately 300 million electronic notifications. The estimated social cost savings amount to 90 billion KRW.

In the mobility sector, representative services include the introduction of smart app meters, prepaid and customized fare plans using them, and Banban Taxi, which allows passengers who wish to share a taxi to do so.

Other areas served through the ICT Regulatory Sandbox include non-face-to-face mobile phone subscriptions and remote medical services such as wristwatch-type electrocardiogram devices.

The Ministry of Science and ICT plans to establish and announce the "Digital Regulatory Sandbox Development Plan" in March based on the opinions reviewed and proposed at the workshop.

Song Sanghoon, Director of Information and Communication Policy at the Ministry of Science and ICT, stated, "The ICT Regulatory Sandbox is at the forefront of digital society development, helping new digital innovation technologies and services to be rapidly launched in the market under Korea's complex regulatory environment. We will prepare measures to strengthen and advance the ICT Regulatory Sandbox system so that Korea can become the most dynamic experimental ground for digital innovation in the world."