The Ministry of Science and ICT announced on the 1st that the budget allocated to the Ministry of Science and ICT reflected in the 2026 government budget proposal and fund operation plan amounts to a total of 23.7 trillion won, the largest ever, representing a 12.9% increase compared to the 2025 supplementary budget of 21 trillion won.
The research and development budget amounts to 11.8 trillion won, an increase of 21.6% from the previous year, accounting for about 33.4% of the total government R&D budget. Of the government's total artificial intelligence budget of 10.1 trillion won, 5.1 trillion won is allocated to the Ministry of Science and ICT, distributed for the national AI transformation at 4.5 trillion won and innovation in scientific research and development using AI at 0.6 trillion won.
Gu Hyuk-chae, the first vice minister of the Ministry of Science and ICT, explained at a briefing on the 1st, "In a situation where potential growth rates are predicted to be low at around 1%, we chose to focus on AI and science and technology," adding, "In addition, we have formulated an R&D budget at the highest scale to overcome the aftermath of past R&D budget cuts."
The Ministry of Science and ICT stated that to respond to slowing growth and global technological hegemony competition and to accelerate the transition to an innovative economy, it has set four major investment directions: national AI transformation, nurturing next(NEXT) strategic technologies, creating a robust R&D ecosystem, and achieving balanced growth based on science, technology, and digital capabilities.
According to the 2026 budget proposal, the budget for the AI transformation sector has been increased by 29.7% to 4.46 trillion won from 3.44 trillion won in 2025. Investments will be made to expand the national AI infrastructure, acquiring an additional 15,000 high-performance GPUs (for a total of 37,000), constructing national AI computing centers, and developing AI networks and specialized models by establishing data spaces.
Efforts will also be made to cultivate next-generation core technologies and talent. In line with the rapid evolution and dissemination of AI technology, the budget has significantly reflected the need to secure next-generation AI core technologies such as AI semiconductors and domestically produced NPUs, as well as AX-based technologies like physical AI. Plans are in place to strengthen the training and recruitment of world-class AI talent to gain an edge in the competitive landscape.
Meanwhile, the information security budget has been increased to 330 billion won, growing by 8.1% due to heightened awareness of cybersecurity risks following the SK Telecom hacking incident. The research and development budget aimed at preventing voice phishing damages has also seen an 11.1% increase.
The budget for NEXT strategic technology fields has increased by 27.8% to 5.93 trillion won from 4.64 trillion won in 2025. Investments will be expanded to strengthen the super-gap capabilities of semiconductors, displays, and secondary batteries, as well as to secure leading positions in future technologies such as advanced bio and quantum technologies. In particular, projects will be promoted to enhance R&D efficiency by integrating AI across various scientific fields.
Government-funded research institutes will expand their contributions to transition from a small-scale project-oriented financial structure to a large-scale and medium-to-long-term mission-oriented model. The Ministry of Science and ICT stated, "We are investing 363.6 billion won into the development of institution strategies to transform small projects into larger ones by phasing out the project-based system (PBS)," adding that it will first establish a strategic development unit for 77 institutions and prepare detailed plans through communication with the field.
Additionally, to foster a performance-based research atmosphere, a new budget of 5.1 billion won has been allocated to provide performance bonuses to the best researchers (about 1%). Support for the commercialization and scaling-up of research results will also be expanded.
The R&D ecosystem sector has increased by 18.4% to 4.51 trillion won. The number of basic research projects will return to the previous level before R&D cuts, around 15,800, and the National Research Laboratory (NRL 2.0) will be expanded for researchers at universities.
To support the growth cycle of science and engineering talent, the government will expand the National Scholarship for Outstanding Students, R&D incentives for science and engineering, foster talent for scientific and technological innovation, attract overseas scholars and early-career researchers, promote the return track for the Sejong Science Fellowship, and aim to attract top-level overseas AI talent. International cooperation will be broadened through establishing cooperation bases between countries, building cooperation hubs with excellent overseas research institutions, and participating in European Union (EU) multilateral programs.
The balanced growth sector has increased by 27.6% to 740 billion won. The ministry will strengthen local autonomous R&D and the development of research and development special zones, reflecting the demands of the five major metropolitan areas and three special regions. Notable citizen-centric projects include the development of innovative disaster safety technologies, the development of field technologies to respond to new illicit drugs, the expansion of advanced technology-based solutions for social issues, and the promotion of scientific culture. Efforts will also be made to expand and reform digital learning spaces for AI, support for local digital infrastructure, and increase the distribution of information and communication assistive devices.
The '2026 budget proposal and fund operation plan,' which passed the State Council on the 29th, will be submitted to the National Assembly on the 2nd. Afterward, it will undergo preliminary examination by the Science, ICT, Broadcasting, and Communications Committee and a thorough review by the Special Committee on Budget & Accounts during the regular National Assembly session, culminating in final approval by the plenary session.
Gu Hyuk-chae noted that approximately 1.2 trillion won has been adjusted through expenditure restructuring in this budget, stating, "We have conducted structural adjustments to regular operating expenses, underperforming projects, and similar overlapping projects every year," and added, "Some basic research or certain projects have been reconfigured or expanded into other projects." The Ministry of Science and ICT also remarked, "Due to the deteriorating fund situation, the Information Communication Promotion Fund and Broadcasting Development Fund have been cut, but adjustments are being made through methods such as transferring to the general account," adding, "The ICT R&D investment is set at 1.6 trillion won, a 22.7% increase from this year."
Minister Bae Kyung-hun stated, "The budget proposal for the Ministry of Science and ICT for 2026 reflects our country's strong will to overcome the low growth crisis it faces and leap into an innovative economy by making AI and science and technology the two pillars of innovative growth," adding, "We will not settle for the record budget figure but will push forward with key projects speedily to show tangible results that the public can feel."
The scientific community welcomed the largest R&D budget in history. Given that the research foundation was greatly shaken by indiscriminate R&D budget cuts during the previous administration, there is hope for the normalization of scientific research. However, concerns have been raised that the strengthened focus on strategic technology-centered R&D investments may push basic science, which does not yield immediate results, to the back.
Lee Hyun-sook, a professor at the Department of Life Sciences at Seoul National University, stated on Facebook, "The discussions held during the National Science and Technology Advisory Council on the 22nd were skewed towards economic compensation stemming from technology transfer and industrial shifts," adding, "Basic science does not require immediate application, but it is the root of innovation, like AI or immunotherapy. I am concerned that neglecting basic science may dampen the morale of scientists and cause public funds to concentrate solely in areas that prioritize short-term results."