President Lee Jae-myung announced on Aug. 22 that “the government’s research and development (R&D) budget for 2026 has been set at 35.3 trillion won, the largest in the history of the Republic of Korea.” He also emphasized the need to rectify the Yoon Seok Yeol administration’s large-scale R&D budget cuts and develop them into a “K-R&D Initiative.” This is interpreted as expressing the will to leap forward as a science and technology powerhouse through R&D ecosystem innovation, gradual abolition of a project-based system (PBS), improvement of treatment for science and technology talent, securing AI innovation foundation, and spreading AX.
Lee made this announcement while presiding over the National Science and Technology Advisory Council held at the Yongsan Presidential Office on this day. The National Science and Technology Advisory Council is the highest decision-making body in the field of science and technology, chaired by the president, and is responsible for deliberating on agenda items such as improving the national R&D system and budget allocation. The meeting, held for the first time since the inauguration of the Lee Jae-myung government, was based on the theme “Investment that respects researchers and changes the future through science begins again in the People’s Sovereignty Government.” It discussed the “2026 National R&D Project Budget Allocation and Adjustment Plan,” “New Government AI Policy and Investment Direction,” and “Ministry-specific Field and User-Centered 2026 R&D Promotion Strategies.”
Lee stated, “The People’s Sovereignty Government will rectify the mistakes of the past government and invest in the future again.” He added, “To overcome the low growth and complex crisis that the Republic of Korea is facing, we must be committed to investing in scientific research and supporting and fostering advanced technology industries, including AI.” He continued, “In the face of the great transformation of unlimited competition in science and technology, there is fierce competition among countries to secure leadership in advanced science and technology.” He emphasized, “Especially in the AI field, the next 2-3 years are the golden time. If we are half a step ahead during this period, we will become leaders enjoying unlimited opportunities, but if we fall behind, we will remain followers forever.”
Lee diagnosed that our science and technology community has been going through a time of regression for the past three years. “Even when times were tough to make a living, we didn’t spare investment for the future, but the state cut research funding, depriving research opportunities,” he pointed out. “Student researchers and young researchers who lost their positions in laboratories have fled to overseas universities or job markets, threatening the basic research ecosystem and greatly shaking the national science and technology competitiveness.”
Mentioning next year’s 2026 government R&D budget plan of 35.3 trillion won, he confidently stated, “It contains a bold decision for the future of the Republic of Korea and the government’s clear will to leap forward as a science and technology powerhouse.”
Lee also said, “This R&D budget should be developed into a ‘K-R&D Initiative’.” He explained, “It is important to establish a virtuous cycle structure that achieves ‘technology-led growth’ where bold R&D investment leads to the fostering of future strategic industries, and also realizes ‘growth for all’ where the fruits of innovation are evenly shared by regions and people.”
He also emphasized the importance of talent issues along with improving the R&D system. Lee said, “We are receiving painful criticism that Korea is not attractive to excellent science and engineering talents,” and added, “We should gradually abolish PBS, which has shaken the identity of researchers in government-funded research institutes for the past 30 years, and transform the financial structure to a mission-oriented one for each research institute. This will boost the pride of young science and technology talents and researchers, while supporting them to design specific futures 5 and 10 years ahead in Korea and grow together with research.”
He also emphasized the National AI Strategy Committee to be launched next month and the announcement of the “Republic of Korea AI Action Plan.” Lee then instructed, “Please prepare to realize ‘AI Top 3 Country’ and ‘AI Basic Society’ through AI highway construction, securing AI core technologies and talents, AI transformation across industry, public, and regions, AI utilization for all citizens, and global AI initiatives.” Lee also stressed, “We must promptly prepare measures for the rapidly increasing power demand due to the expansion of AI research and utilization, and the fostering of advanced industries such as semiconductors.”
Finally, Lee said, “The government’s R&D budget plan for next year, which we discussed, will be the starting point for a new science-based nation,” and asked the committee members to “gather wisdom for research ecosystem innovation and science and technology talent cultivation plans.”