[2025 Budget] 'Work Experience' in High Demand Among Youth... Support Target Increased by 10,000 People

Ministry of Economy and Finance Announces 2025 Budget Proposal
Reducing Youth Employment and Housing Concerns Next Year
"2-to-1 Competition Rate... Sufficient Demand for Work Experience"

The government will increase the budget by about 47 billion KRW compared to this year to expand the number of young people supported for work experience next year by 10,000. For supporting unemployed graduates and young people who have given up job searching, an additional 30 billion KRW will be invested.

The Ministry of Economy and Finance announced the next year's budget plan on the 27th, which includes projects aimed at improving employment, housing, and asset issues for the youth.

Considering the hiring trend that emphasizes job experience, the government decided to expand work experience support next year. The number of supported youth will increase from 48,000 to 58,000 so that young people can enhance their employment capabilities by gaining more practical experience. The related budget will increase by 46.9 billion KRW to 218.7 billion KRW compared to this year.

An official from the Ministry of Employment and Labor explained, "(For the work experience) project applications are ongoing, and on average, the competition rate per operating institution is about 2 to 1," adding, "We believe there is sufficient demand from young people." The government plans to focus on significantly expanding quality work experience opportunities through mid- to long-term and project-based approaches.

For young people who are unable to find employment after graduation or who have given up on job searching, customized support will be strengthened. The related budget for next year is 72.8 billion KRW, an increase of 30 billion KRW compared to this year. For unemployed graduates, a new budget of 20 billion KRW will be allocated next year to discover 60,000 individuals and provide specialized employment programs. The support target for young people who have given up job searching will increase from 9,000 to 12,000.

The government will introduce a new Youth Housing Dream Loan to alleviate housing and asset concerns among young people. This product supports up to 80% of the sale price at a minimum interest rate of 2.2% when young people win a housing subscription lottery. The government will newly invest 740.7 billion KRW for this purpose. The support target size is 11,000 people. The budget for the Youth Leap Account next year will increase to 375 billion KRW, and the government matching support limit will be raised to 700,000 KRW per month.

The expansion of the national scholarship brackets to reduce the burden of education expenses for youth will also be implemented. Next year, the government will increase the number of national scholarship support brackets from the existing 8 to 9. In this case, the number of beneficiaries will increase from 1 million to 1.5 million. The related budget will be 5.3134 trillion KRW, an increase of about 593 billion KRW compared to this year.