Gyeonggi-do to Allocate Expanded Budget of 38.7221 Trillion Won Next Year... 7.2% Increase from This Year

Gyeonggi Province has prepared a budget of 34.7398 trillion KRW for the general account and 3.9823 trillion KRW for the special account for 2025. The general account budget increased by 2.5894 trillion KRW compared to this year's 32.1504 trillion KRW.

According to Gyeonggi Province on the 30th, the Gyeonggi Provincial Council held the 1st plenary session of the 381st extraordinary meeting and finalized the 2025 Gyeonggi Province budget at 38.7221 trillion KRW. This is an increase of 2.6011 trillion KRW (7.2%) compared to the 2024 main budget.

Governor Kim Dong-yeon of Gyeonggi Province stated in last month's 2025 budget address, "Our economy is currently in a comprehensive crisis, and the red light has already turned on for people's livelihoods. Extraordinary situations require special responses," adding, "Continuing bold expansionary fiscal policies next year, following this year, is a bold decision and solution of the 'people-centered' Gyeonggi Province," clearly emphasizing the expansionary fiscal policy stance.

With the confirmation of this expansionary budget, Gyeonggi Province will be able to focus investments on three major areas?opportunity, responsibility, and integration?based on the people-centered 'Humano-mics' approach.

The key priority projects for next year are as follows.

◇ Revitalizing the Livelihood Economy through Support for Small and Medium Enterprises, Small Business Owners, and Farmers and Fishermen

For revitalizing the livelihood economy through support for small and medium enterprises, small business owners, and farmers and fishermen, 101 billion KRW was allocated for local currency issuance support, and 25 billion KRW was confirmed for agricultural and marine product discount coupons to promote consumption and reduce the burden of grocery prices.

For small business owners facing difficulties in financing due to loan limits and credit rating declines, 15 billion KRW was allocated for the Small Business Owners HimnaeGO Card support to provide essential operating funds such as material costs and utility bills.

Gyeonggi Province Governor Kim Dong-yeon is attending the Gyeonggi Provincial Assembly on the 30th and delivering a greeting speech for the approval of the 2025 budget proposal. Photo by Gyeonggi Province

100 billion KRW will be invested in the Gyeonggi Province Big Sale to support consumption promotion events such as traditional markets and neighborhood commercial communities, and 5 billion KRW will be allocated for special guarantees to extend debt repayment for medium- and low-credit small business owners to support smooth settlement and reduce repayment burdens.

20 billion KRW was allocated for special funds to help tourism operators in Gyeonggi Province overcome crises, and 20 billion KRW was assigned for Gyeonggi Province's small and medium enterprises foreign exchange fluctuation insurance to protect SMEs amid increasing domestic and international economic uncertainties and expanded exchange rate volatility.

◇ Strengthening Support for Vulnerable Groups and Seamless Welfare Services

To strengthen support for vulnerable groups and provide seamless welfare services, 28.2 billion KRW was allocated for the veterans' honor allowance to honor war veterans, 14 billion KRW for opportunity income for persons with disabilities to compensate for their social value activities and increase physical and social participation activities, and 5 billion KRW for the Caregiving SOS Project to support nursing expenses for low-income elderly patients.

◇ Fostering New Growth Industries such as AI, Semiconductors, and Bio

103 billion KRW was allocated for building a generative AI data platform including the Gyeonggi Generative Artificial Intelligence Model (LLM), 7.8 billion KRW for establishing an AI innovation cluster to create startup campus spaces including AI-based startup spaces, education, and technology demonstration, and 2.2 billion KRW for semiconductor industry specialized workforce training projects to nurture practical technical personnel focused on the demand of mid-sized and small semiconductor companies.

◇ Proactive Efforts for Climate Crisis and Future Response

45 billion KRW was allocated for climate satellites to strengthen climate crisis response capabilities and foster new space industries, 35 billion KRW for climate action opportunity income to respond to the climate crisis, 10.7 billion KRW for the 100,000 Household Power Self-Reliance Project to establish an energy transition foundation through support for residential solar power (3kW) installation, and 3.4 billion KRW for climate insurance to support climate-related health damage insurance for all residents to reduce climate disparities and health damage relief.

◇ Concentrated Investment in SOC such as Roads, Rivers, and Railways and Strengthening Public Transportation Services

Gyeonggi Province will focus its budget on social overhead capital (SOC) such as roads, rivers, and railways, and strengthening public transportation services. 356 billion KRW was allocated for expansion and paving works on national and local roads, 270.8 billion KRW for operating the public management system of city buses to stabilize bus operations and improve transportation services for residents, and 158.3 billion KRW for The Gyeonggi Pass to promote public transportation use, practice carbon neutrality, and reduce transportation costs for residents.

◇ Providing Various Opportunities to Overcome Low Birthrate and Support Youth and Baby Boomers

For overcoming low birthrate and providing opportunities for youth and baby boomers, 33.2 billion KRW was allocated for infertility treatment support for couples, and 96.5 billion KRW for youth basic income. 12.1 billion KRW was confirmed for youth ladder and gap year programs to support future planning opportunities and capacity building for youth, and 6.3 billion KRW for Baby Boomer Light Jobs, a flexible job policy for coexistence between companies and baby boomers.

◇ Prioritizing Feasible Projects for the Northern Region's Great Transformation

For the prioritized budget for the northern region's great transformation, 204 billion KRW was allocated for northern region SOC projects such as expansion and paving works on national and local roads and maintenance projects for northern local rivers to alleviate transportation inconveniences, and 43 billion KRW for the construction of the 3rd exhibition hall at KINTEX to strengthen international exhibition industry competitiveness.

Additionally, to commemorate the 80th anniversary of liberation, the construction of the Independence Hall will be actively promoted to honor the proud spirit and history of the independence movement, and various cultural projects will be implemented.

Governor Kim Dong-yeon said in his budget approval remarks, "The role of finance is more important than ever to rebuild the broken economy and restore people's livelihoods. The budget you approved today will be executed unprecedentedly quickly to revive the lives and economy of 14.1 million Gyeonggi residents," adding, "We will also actively consider an early supplementary budget to quickly overcome this economic crisis. We will mobilize all available capabilities to protect our economy and people's livelihoods. Now, Gyeonggi Province, with its 14.1 million people, will take the lead in overcoming this crisis in South Korea."