South Korean President Lee Jae-myung has made artificial intelligence the core of his government's economic vision, promising to drive the transformation of domestic industry, public services and national defense by actively promoting artificial intelligence investment and policy support.
In his first fiscal budget speech to Congress since taking office in June, Lee described the 2026 budget as "the first national budget in the artificial intelligence era," marking a major shift in South Korean policy after months of political turmoil caused by former President Yun Seok-yue.
Li Zaiming said in a speech in the National Assembly, "In the era of artificial intelligence, one day late means falling behind an entire generation. Since we started late, we must speed up the pace now and work harder to catch up with the leaders. Only in this way can we have a chance."
He said the government will more than triple investment in artificial intelligence next year to 10.1 trillion won ($7 billion) as part of a broader budget proposal totaling 728 trillion won, aiming to revive economic growth, overcome population decline and prepare for a wave of global trade and technological change.
On the security front, the government plans to increase the defense budget by 8.2% to 66.3 trillion won, focusing on upgrading conventional weapons and applying artificial intelligence, which will bring defense spending to 2.4% of gross domestic product (GDP).