[BusanIsReady] 500,000 Jobs to Be Created... The Critical Reason Behind Hosting the 'Economic Olympics'

Expecting to Host One of the World's Top 3 Events
Following Yoon, Government, Business, and Cultural Figures Unite
From the Moment of Hosting, Nationwide Efforts to Revitalize Local Economy
Becoming an International Hub... A Festival Lasting Half a Year

The World Expo, known as one of the world's three major mega-events alongside the Olympics and the World Cup, has drawn the involvement of the president, government, business community, and cultural figures alike. The government expects that hosting the Expo will enable Korea to advance 2 to 3 stages economically, socially, and culturally on the global stage. This is why President Yoon Suk-yeol, who has consistently emphasized 'economic diplomacy' since taking office, personally delivered a presentation (PT) at the International Bureau of Expositions (BIE) General Assembly in France.

[Image source=Yonhap News]

The economic impact of hosting the Expo is unparalleled by any other international event. The government and industry estimate the economic effect of the 2030 Busan Expo at 60 trillion won. Since the host country provides the site, and over 200 participating countries fund their own national pavilions, corporate pavilions, and event pavilions in this 'registered' Expo, it is expected to create 500,000 jobs and attract 35 million visitors from more than 200 countries worldwide during the Expo period. Considering that the 2002 Korea-Japan World Cup generated an economic effect of 17 trillion won and the 2018 Pyeongchang Winter Olympics produced 29 trillion won, the scale is incomparable.

Participating countries invest directly in facilities over 6 months... 500,000 jobs created

Above all, unlike the Olympics or World Cup, which may run deficits, the Expo operates on a system where participating countries bring their own funds to build facilities, so the host country does not incur losses. This is why the government believes that the Expo can serve as a catalyst for Busan and other regions, as well as South Korea as a whole, to emerge as an international hub.

If successful in hosting, the preparation phase itself will act as a regional economic revitalization measure. According to Busan City and others, during the land acquisition and compensation phase (2025?2027), 9.7 trillion won is expected; during the site development and construction phase (2027?2030), 5.3 trillion won; and the Expo hosting phase is estimated to generate 46 trillion won (including induced added value). Notably, land compensation alone amounts to about 2.5 trillion won. The government and Busan City anticipate that this money will flow directly into the region, increasing income, consumption, and savings, which will in turn lead to expanded investment, production, and employment.

Moreover, the Expo lasts six months, longer than the World Cup (one month) or the Olympics (19 days). This means that foreigners will live in the surrounding areas for half a year, stimulating increased consumption and production. Additionally, the national pavilions built by each country will remain after the Expo. The Presidential Office also expects that during each country's event week, the head of state may visit, potentially facilitating summit diplomacy.

Shanghai and Dubai rise as international cities after hosting the Expo

Cities that have successfully hosted the Expo have also succeeded in elevating their international status. China, for example, rose to economic superpower status after the 2010 Shanghai Expo. In particular, Shanghai experienced an economic effect estimated at about 110 trillion won following the event. China's domestic GDP also increased by 2% after the Expo. Italy's Milan, which hosted the 2015 Expo, achieved an economic effect of 63 trillion won and created 150,000 jobs. At that time, Milan surpassed Rome to become Italy's top tourist city.

The economic effect of the recently held Dubai Expo was 43 trillion won. The city's brand was significantly strengthened internationally, and nearby cities such as Abu Dhabi saw a substantial increase in tourists. The Dubai Expo Organizing Committee exceeded its initial economic investment effect forecast of 40 trillion won, with direct and indirect employment creation related to exhibition hall construction, hotel and tourism infrastructure expansion reaching 900,000 jobs.

Japan is also preparing to host its third Expo in 2025. The Expo site is being developed on an artificial island in Osaka, and the Japanese government plans to use the expected 25 trillion won economic effect as a turning point for economic recovery. In March, the Japanese government announced that 153 countries and regions, along with 8 international organizations, will participate in the 2025 Osaka-Kansai Expo. This achievement meets the government's goal of 150 participating countries and regions, making it the largest Expo ever held in Japan.

In line with the excitement over hosting the Expo, Busan City is moving quickly. The second phase of redevelopment for Bukhang, the site of the Busan Expo, is accelerating, with work underway to revitalize the idle Jaseongdae Pier, the adjacent sea, and the deteriorated old downtown areas of Jung-gu and Dong-gu. This project, costing a total of 4.4 trillion won, recently passed a preliminary feasibility study for road and tram construction and the creation of a connecting axis to the old downtown.

A key official from the Presidential Office emphasized, "The reason we must host the Expo is that our country's 2030 future generation needs dreams and jobs," adding, "We expect an economic effect exceeding 60 trillion won and the creation of 500,000 jobs. The benefits will return to future generations."