The Ministry of Agriculture, Food and Rural Affairs will expand the investment scope of the Agro-Food Fund of Funds to attract private capital to projects to renovate vacant homes and aging buildings in rural areas. As a private investment channel opens in rural improvement projects that had been driven mainly by the central and local governments, the projects are expected to gain sustainability and deliver greater regional revitalization effects.
According to the ministry on the 22nd, an amendment to the Notice on Persons Engaged in Other Affairs Related to the Agriculture, Forestry, Fisheries, and Food Industry, which takes effect on the 27th, includes renovation projects for vacant homes and vacant buildings in rural areas under the Agricultural and Fishing Villages Improvement Act and the Building Management Act as new investment targets for the Agro-Food Fund of Funds. The Agro-Food Fund of Funds invests in startups, ventures, and technology commercialization across the agri-food industry, and with this amendment its support scope extends to renovation projects.
Until now, vacant homes in rural areas, which undermine aesthetics and pose safety issues, have been renovated through public projects led by the government and local governments, but recently private demand has been growing to repurpose them as startup spaces and experience facilities. The ministry expects that this institutional improvement will encourage participation by private capital and contribute to improving living conditions and balanced regional development.
Yun Won-seub, director-general for agricultural policy, said, "Vacant-home renovation is meaningful not only for resident safety and improving the residential environment, but also for revitalizing the regional economy," adding, "We will actively support rural environment improvement projects by expanding private investment."