YGPA Resolves Government Advance Investment Fund Repayment Issue for Yeosu Expo Site

Switch from Lump-Sum Repayment to 10-Year Installment Plan

Yeosu Gwangyang Port Authority (YGPA, Acting President Hwang Hakbeom) announced on the 25th that on the previous day, it had changed the repayment method for the government’s advance investment fund?which had long been a significant burden for the post-expo use of the Expo site?from a lump-sum repayment to a 10-year installment repayment plan.

The government’s advance investment fund refers to the remaining unpaid amount of 365.8 billion KRW out of the amount the government invested in advance to successfully host the Yeosu World Expo in 2012. In the case of YGPA, the obligation to repay this fund was also assumed when it took over the Expo site in May 2023.

Aerial view of Yeosu World Expo site.

There had been ongoing concerns in the region that, at a time when YGPA needs to make continuous investments and efforts to redevelop the Expo site as a 'global marine leisure tourism hub' alongside the development of Yeosu Gwangyang Port, the burden of a lump-sum repayment of the advance investment fund could worsen the institution’s finances and result in the loss of momentum for new investments.

In response, over the past year, YGPA held more than 50 rounds of discussions and consultations with local members of the National Assembly and related ministries regarding the repayment method, repayment period, and additional government financial support measures. As a result, YGPA finalized an agreement with the Ministry of Oceans and Fisheries and other relevant ministries to repay the government’s advance investment fund in installments over 10 years.

With the financial burden related to the Yeosu Expo site eased, YGPA is now able to proceed without setbacks with investments in new projects that will serve as future growth engines for Yeosu Gwangyang Port.

Hwang Hakbeom, Acting President of YGPA, stated, "After much effort, we have changed the lump-sum repayment of the government’s advance investment fund?which had been a significant burden for the post-expo utilization of the site?to a 10-year installment repayment. This was made possible thanks to the active support of our local members of the National Assembly and the cooperation between YGPA and the labor union. Moving forward, we will seek concrete implementation plans and financial strategies to develop the Yeosu Expo site into a global marine leisure tourism hub."