A National Assembly audit of the Ministry of SMEs and Startups, led by Minister Han Seong-sook, will begin on the 14th. Lawmakers on the Trade. Industry Energy. SMEs. and Startups Committee are expected to question the effectiveness of the ministry's support programs for small business owners and SMEs, and issues such as the theft of SME technologies during this audit.
The ministry last month unveiled a 2026 budget proposal of 16.8449 trillion won, the largest ever, and allocated 5.5278 trillion won for support to small business owners. Lawmakers on the committee are expected to scrutinize the status and effectiveness of policies such as the three major programs to ease management burdens for small business owners currently being implemented by the ministry—burden-relief credits, Biz Plus Card, and subsidies for delivery and courier fees. In particular, questions are expected that policies should be prepared to support the fundamental recovery and growth of small business owners, rather than temporary cash-like support.
Unrecovered SME policy funds are also expected to be a key point of contention in the audit. According to materials submitted by the Korea SMEs and Startups Agency (KOSME) to the office of Heo Seong-mu of the Democratic Party of Korea, the amount of unrecovered SME policy funds (nonperforming amounts) from 2020 to 2024 was found to be 2.8307 trillion won. This year's unrecovered amount reached 493.4 billion won as of Aug. Heo said, "It is urgent to closely analyze the causes of the increase in unpaid amounts and to prepare effective SME support policies."
The Onnuri gift certificate, introduced to revitalize traditional markets and neighborhood commercial districts, is expected to be a key issue again this year following last year's audit. In last year's audit, lawmakers pointed out the problem of illegal distribution of Onnuri gift certificates, commonly known as "kkang." This year, questions are expected not only on illegal distribution but also on issues arising from the relaxation of criteria for Onnuri gift certificate affiliated business types.
According to the office of Kim Won-i of the Democratic Party of Korea, payments at 1,777 newly registered hospitals and clinics that became gift certificate merchants from Sept. last year, when the scope of Onnuri gift certificate merchants was expanded, to Aug. this year totaled 34.83 billion won over one year. This accounts for 76% of total payments at newly affiliated merchants, drawing criticism that it runs counter to the policy's intent to help small, low-income business owners. Kim said, "Rather than unconditionally increasing the issuance of Onnuri gift certificates, institutional improvements are needed so that support centers on small, low-income business owners."
In addition, questions are expected mainly from ruling party lawmakers about damage to SMEs and startups caused by the Yoon Suk-yeol government's research and development (R&D) budget cuts. Questions are also likely to follow on whether the ministry's countermeasures are proving effective as export-oriented SMEs continue to struggle under Trump-driven tariff shocks.
The committee has summoned as witnesses the heads of corporations at the center of controversy over SME technology theft, including Kang I-gu, CEO of Kolon Benit. Kolon Group's IT affiliate Kolon Benit is suspected of stealing software technology from Solcom Infocoms, an SME software company.
There are about 300 cases of SME technology theft damage annually, with the average loss estimated at 1.8 billion won. However, it is difficult for victimized corporations to secure evidence related to theft, and even if they win a lawsuit, the average amount awarded by courts is around 140 million won, only 17.5% of the amount claimed.
Last month, the ministry introduced the "K-discovery system," a Korean-style evidence disclosure system that allows parties to demand evidence submission from counterparts in lawsuits such as patent infringement, and announced "measures to eradicate SME technology theft" that would make damage awards more realistic.
Meanwhile, the audits of institutions under the ministry—including the Korea Technology Finance Corporation (KOTEC), Korea SMEs and Startups Agency (KOSME), Small Enterprise and Market Service, Korea Venture Investment Corporation, Korea Institute of Startup and Entrepreneurship Development (KISED), public home shopping, and Korea SMEs & Startups Institute (KOSI)—will be held on the 23rd, and the comprehensive audit of the ministry will take place on the 29th.