South Korea's president asks parliament for 21.3 trillion won for AI, chips and data centres — nearly double this year

South Korean President Lee Jae Myung told the National Assembly on Monday, 2 November 2026, that his government wants to invest 21.3 trillion won (about $15.97 billion) — “nearly twice this year’s amount” — in AI and three “megaprojects”: semiconductors, physical AI and AI data centres, Reuters (via CNA) and Yonhap reported.

Key numbers

• The overall 2027 budget bill proposes 820.9 trillion won in spending, up 12.8% — the largest increase on record, Lee said.
• About 4.7 trillion won is earmarked for a “frontier AI” project to build a sovereign Korean model with world-leading performance, according to Reuters and DW (Yonhap cited 4.6 trillion won).
• Yonhap reported a separate 13.8 trillion won for ten strategic technology sectors and a new Future Fund of about 160 trillion won.

Context

The spending rise rests on expected tax revenue from the chip boom at Samsung Electronics and SK Hynix. Reuters noted South Korea’s exports reached $930 billion in January–October. The budget still needs parliamentary approval; Lee’s Democratic Party holds a majority, DW reported, and Lee called for bipartisan support.