Securing Competitiveness for Domestic Universities, Financial Support Is Most Essential [University Transformation](21)

Jeong Dae-hwa, Former Standing Member of the National Education Commission
"No Innovation Without Financial Investment
Higher Education Funding Must Reach OECD Average
Investment Remains Low Even Considering Enrollment Rates"
"Clear Classification Needed for Research-Oriented and Industry-Academia Core Universities
Higher Education System Must Be Clearly Defined"
"Presidential National Human Resources Committee Must Be Activated"

Jeong Dae-hwa, former Standing Member of the National Education Commission and former President of Sangji University, emphasized in an interview with Asia Economy on October 2, 2025, that "the most essential factor for domestic universities to enhance their competitiveness is financial support."

Former Standing Member Jeong stated, "There is no innovation in any area of national administration without financial investment," adding, "To achieve innovation in higher education (universities), the financial resources allocated to higher education must at least reach the average level of the Organisation for Economic Co-operation and Development (OECD)." He pointed out, "The higher education enrollment rate in Korea is 75%, compared to the OECD average of 45%. Even by enrollment rate alone, Korea should be investing more in higher education than the OECD average, but the reality is far from it."

Yonhap News Agency

Previously, the Higher Education Innovation Team of the National Education Commission included in its 'Higher Education Innovation Report' recommendations such as securing higher education funding equivalent to at least 1% of Gross Domestic Product (GDP) to expand investment in university talent and fundamentally reforming the higher education system to proactively respond to changes in future society.

In 2020, Korea's public spending per university student was $12,225, which is only 67.5% of the OECD average of $18,105. Compared to world-class universities, the budget scale of domestic universities is severely lacking. Jeong pointed out that outdated facilities and equipment need to be replaced, and outstanding human resources must be secured, but the current budget is insufficient to achieve these goals.

He remarked, "There are many areas that need improvement, including investment in research and development, securing facilities and equipment, and improving the treatment of faculty and staff." He added, "Professors' salaries have been frozen for 17 years since tuition was capped in 2009, so when considering the rate of inflation, there has actually been a real decrease." Jeong stressed the need to start by securing the necessary budget to enhance university competitiveness and pursue innovation.

Jeong also discussed changes to the higher education system. He argued that universities should be clearly classified as research-oriented core universities, industry-academia cooperation core universities, or lifelong education universities. He emphasized the need to allocate resources optimized for each function and to focus on nurturing regional national universities into world-class research-oriented universities. He also advocated for innovation in higher education governance to improve policy consistency and efficiency. According to Jeong, universities should be guaranteed autonomy and required to establish systems that demand both performance and accountability, thereby enabling universities to take the lead in innovation. He further suggested that the government should consider establishing a Presidential Committee for Integrated Higher Education Support to comprehensively manage and coordinate the functions and roles of central ministries that support university finances.

Jeong emphasized, "It is important to actually activate the existing Presidential National Human Resources Committee," and pointed out, "Currently, this committee is not functioning properly." He continued, "Whether by operating this committee or by establishing a separate Integrated Higher Education Support Committee, innovation in higher education cannot be achieved by the Ministry of Education alone. The President must step up and provide leadership and support."