Signal Korea lifts government R&D to a record 35.3 trillion won in 2026 while national debt climbs

Summary

The government set restoring the research ecosystem and technology-led growth as a core agenda and raised the 2026 government R&D budget by 5.7 trillion won, or 19.3 percent, to 35.3 trillion won. It plans to invest more than 40 trillion won by 2029, concentrating on core technologies in AI, biotechnology and other advanced industries over the next five years. The expansion comes as spending outpaces revenue, with national debt projected to grow from 1,301.9 trillion won in 2025 to 1,788.9 trillion won in 2029. Over the same period the debt-to-GDP ratio is expected to rise from 49.1 percent to 58.0 percent. The author reads the decision as a bet that R&D can act as priming investment that expands the future tax base and productivity.